UK shows signs of recovery from mild recession, says Bank of England

Bank’s governor predicts Britain’s economy will receive a boost when interest rates start to fall later this year

Britain is showing signs of recovery from its mild recession and will receive a boost when interest rates start coming down later this year, the Bank of England governor, Andrew Bailey, has said.

Giving evidence to the Commons Treasury committee, Bailey told MPs he wanted more evidence that inflationary pressures were easing before voting to cut rates from 5.25% but said he was “comfortable” with City forecasts predicting policy would be eased later this year.