Phil Aldrick

Ben Bernanke put the US Federal Reserve on the cutting edge of economics 12 years ago by collecting policymakers’ forecasts, including their outlook for interest rates, into groups of “dot plots.”

Britain is starting to rein in inflation at a quicker pace than the US, underscoring a divergence between the two economies that may allow the Bank of England to move sooner on cutting interest rates than the US Federal Reserve.

Ben Bernanke called on the Bank of England to consider publishing its own outlook for UK interest rates, part of a sweeping review expected to prompt a “once-in-a-generation” overhaul of how the central bank makes and communicates its forecasts.

Britain’s environment secretary rejected a direct appeal for help from the owners of Thames Water, underscoring the government’s efforts to stay out of the financial crisis rocking the UK’s largest water company.

Bank of England policymaker Catherine Mann said the fragmenting global economy will leave countries more exposed to inflation shocks in future, posing a test for central banks.

Bank of England policymaker Megan Greene said the UK faces difficult trade-offs over whether to cut interest rates because underlying inflation remains high and growth is weak.

A consumption-driven recovery in the UK could set off a renewed bout of inflation, but more interest rate cuts are likely as prices are “moving in the right direction,” Bank of England policymaker Megan Greene said.

With UK public services failing due to years of under-investment and the tax burden already at a post-World War II high, Chancellor Rachel Reeves has warned she faces “tough decisions” to balance the nation’s finances.

An emerging plan to loosen the UK’s rigid fiscal rules could help Prime Minister Keir Starmer resurrect his ambitious climate investment plans and answer critics who say his government lacks a plan to generate growth.

Chancellor of the Exchequer Rachel Reeves will have to increase borrowing by about £25 billion ($32.5 billion) in the budget to bridge the UK’s investment gap, a fiscal expansion that could slow Bank of England interest rate cuts, according to analysis by Bloomberg Economics.