Douglas Carswell's Blog

Busted Bank of England

Mervyn King has apparently recognised that despite record low interest rates and printing money, the economy is still in trouble.

You don't say? This blog has been making that point for three years.

Perhaps Mr King might one day recognise that it was his Bank of England's decision to set interest rates too low for too long that created the credit bubble in the first place.

Worse, his management of monetary policy since has made the problem worse. Keeping the price of credit low has done nothing to stimulate the supply of credit - other people's savings. Over consumption has been encouraged. The productive parts of the economy undermined. Printing more money has produced inflation.

Mr King presides over a discredited central bank, a disastrous monetary policy and a debauched currency.

It is time to return to honest money.

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