What to Watch for in BOE Rate Decision

The video discusses the potential rate hikes by the Bank of England, with most economists predicting a half-point increase, though some foresee a quarter-point due to recession risks. The labor market and international economic conditions are also considered. The video further explores quantitative tightening (QT) plans, including the sale of securities and its financial implications. The discussion highlights the irony of QT's impact on public finances amid political promises of tax cuts, potentially leading to increased borrowing.

What is the significance of the Bank of England's approach to quantitative tightening?

What potential conflict arises from the economic policies proposed by Liz Truss?