BoE’s Greene says US tariffs likely to put downward pressure on UK inflation

Britain is more likely to see lower than higher inflation as a result of US President Donald Trump’s tariffs, Bank of England policymaker Megan Greene said on Tuesday.

Greene said Britain’s decision not to levy reciprocal tariffs meant it was likely to become a destination for cheaper goods from Asia and the European Union.

Bank of England’s Greene says dollar drop adds to tariff inflation puzzle

“The tariffs actually represent more of a disinflationary risk than an inflationary risk,” Greene told Bloomberg TV.

However, she said she remained concerned about domestic inflation pressures in Britain due to a lack of supply capacity, adding that she had up to now taken a “cautious” approach to rate cuts.