The Bank of England Leans More Doveish... Hawkish Members to Resign in June

[Asia Economy Reporter Park Byung-hee] With the resignation of Andy Haldane, the most hawkish member among the Bank of England (BOE) Monetary Policy Committee, the BOE's monetary policy stance is expected to tilt further towards a more dovish direction.

According to Bloomberg, Chief Economist Haldane will leave the BOE, where he has worked for over 30 years, this coming June. After concluding his final monetary policy meeting at the BOE on June 24, he will move to become the CEO of the Royal Society of Arts in September.

Bloomberg explained that Haldane is currently the most hawkish figure among the nine BOE Monetary Policy Committee members and has been the strongest opponent of the BOE's monetary easing stance.

In recent months, despite improvements in the COVID-19 situation, Haldane raised his voice, criticizing his fellow committee members for being overly pessimistic about the economy. While other monetary policy members expressed concerns about the economy citing rising unemployment, Haldane pointed out that a strong economic recovery is expected and that it may be difficult to curb inflation.

[Image source= Bloomberg]

Stuart Cole, who worked as an economist at the BOE and is currently a chief investment strategist at Equity Capital, said that with Haldane's departure, the dovish tone in BOE's monetary policy meetings will become more pronounced.

The BOE will soon announce a recruitment notice for Haldane's successor, and BOE Governor Andrew Bailey will appoint the replacement. Traditionally, the Chief Economist at the BOE serves as a Monetary Policy Committee member, but the decision to appoint them as a committee member is made by the Chancellor of the Exchequer.

Haldane completed a master's degree in economics at Warwick University and began working at the BOE in 1989. In 2014, he was selected as one of the 100 most influential people in the world by Time magazine.