BoE's Bailey says he is 'very uneasy' about inflation

LONDON: Bank of England Governor Andrew Bailey said he was very uneasy about the inflation outlook and that his vote to keep interest rates on hold earlier this month, which shocked financial markets, had been a very close call.

Bailey said he wanted markets to be in no doubt that the central bank would act to counter above-target inflation, even if uncertainty about the outlook for jobs had tipped the balance against raising rates this month.

"I'm very uneasy about the inflation situation," he told the House of Commons Treasury Committee on Monday. "I want to be very clear on that. It is not of course where we wanted to be, to have inflation above target."

"On the decision itself, however, it was a very close call in my view," Bailey added.