Brexit critic who attacked Tory ‘mismanagement’ to set rates at Bank of England
A Brexit critic who has criticised Conservative fiscal policy is to join the Bank of England's rate-setting panel
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A Brexit critic who has criticised Conservative fiscal policy is to join the Bank of England's rate-setting panel.
Economist Megan Greene, the global chief of American risk management firm Kroll is set to replace Silvana Tenreyro when her term ends in the summer, the Treasury has announced.
Greene will take up the positition as an external member of the Bank’s Monetary Policy Committee (MPC).
But while little is known about her personal views, in October last year Greene criticised Liz Truss's Government and its economic policies.
Economist Megan Greene, the global chief of American risk management firm Kroll is set to replace Silvana Tenreyro
Economist Meg
“There has been a lot of economic mismanagement,” she said about Truss's administration in an interview with the BBC.
The economist has also previously spoken out about how Brexit has hurt the UK economy and business investment.
“Brexit is bad for the UK economically,” she told Bloomberg while she was chief economist at Manulife Asset Management in December 2017.
The latest MPC member to be appointed before Greene, Swati Dhingra, has also criticised the economic impact of leaving the EU.
Eight times a year, the nine policymakers on the MPC vote on whether to adjust interest rates in response to inflation.
Silvana Tenreyro is one of the committee’s most "dovish" members and has regularly voted against the majority in favour of lower rates, while Greene’s stance appears more hawkish.“
"I actually think the Bank of England will end up having to hike more to bring inflation back in line with their target... so the UK has got a tough challenge,” she told investors last month.
Observers say her appointment will likely provide a change from Tenreyro's starkly dovish outlook.
Chancellor Jeremy Hunt says he is 'delighted' to appoint Megan Greene to the role
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HSBC economist Elizabeth Martins said: “While we don't know too much about Ms Greene's stance on monetary policy, we can say one thing: it will be hard for anyone to be more dovish than Ms Tenreyro."
The appointment could leave Swati Dhingra, another external member, as the only "consistent dove" on the panel.
Chancellor Jeremy Hunt said: “Megan Greene’s wide experience across financial markets and the real economy will bring valuable new expertise to the MPC.
"I am delighted to appoint her to this role and look forward to seeing her contribution to policymaking in the coming years.”
The Bank of England has raised interest rates eleven times to 4.25 per cent and it could rise by another 0.25 per cent at a May meeting.
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