New Lockdown Probably Means BOE Unanimity on QE Extension

New Lockdown Probably Means BOE Unanimity on QE Extension

The U.K. government’s decision to impose a one month lockdown in England from Nov. 5 means it’s no longer a question of whether the central bank will add stimulus on Thursday, but a question of how much. Bloomberg Economics’ Bank of England Spectrometer now suggests the Monetary Policy Committee will vote 9-0 in favor of a QE extension -- previously BE had expected Chief Economist Andy Haldane to favor no change. BE expects an increase in the central bank’s asset-purchase target of 100 billion pounds ($130 billion), but policy makers may do even more.

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