Published by Global Banking & Finance Review®
Posted on October 17, 2025
2 min readLast updated: January 21, 2026
Add as preferred source on GoogleThe Bank of England will provide more detailed explanations of its interest rate decisions, starting in November, to enhance transparency.
LONDON (Reuters) -The Bank of England will make changes to explain in more detail its decisions on interest rates and other monetary policy issues from next month, BoE Chief Economist Huw Pill said on Friday.
The BoE was taking concrete steps in response to a review of how its forecasting should adapt to greater uncertainty in the world economy and its communication processes published last year by former Federal Reserve Chair Ben Bernanke, Pill said.
As a result, the Monetary Policy Committee will seek to explain the wider range of inputs used in its discussions via the increased use of explanatory boxes and a new section on risks and scenarios in its quarterly Monetary Policy Report.
In another change, the minutes of MPC meetings will give space for each of its nine member to explain their own policy views, Pill said.
"For sure, our progress thus far is not the final word," he said in a speech to the Institute of Chartered Accountants in England and Wales. "And as circumstances change and new challenges emerge – as they inevitably will – additions will be made to an already long 'to do' list."
The BoE, like other central banks, came under heavy criticism of its forecasting and communications strategy when inflation peaked above 10% in 2022 following Russia's full-scale invasion of Ukraine which sent energy prices in Europe soaring.
The BoE's next monetary policy announcement is due on November 6 when it is widely expected to keep rates on hold as it awaits further clarity on the persistence of inflation pressures in the economy.
(Writing by William Schomberg; editing by Suban Abdulla)
The Bank of England is the central bank of the United Kingdom, responsible for issuing currency, maintaining monetary stability, and overseeing the financial system.
Monetary policy refers to the actions taken by a central bank to manage the money supply and interest rates to achieve macroeconomic objectives such as controlling inflation and stabilizing currency.
Interest rates are the cost of borrowing money or the return on savings, expressed as a percentage of the principal amount, influencing economic activity and inflation.
Inflation is the rate at which the general level of prices for goods and services rises, eroding purchasing power and typically measured by the Consumer Price Index (CPI).
The Monetary Policy Committee (MPC) is a group within the Bank of England responsible for setting interest rates and making decisions regarding monetary policy.
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