UniCredit's Vernazza Says Brexit Is Holding Back BOE

The transcript discusses the confusion in the market due to the Bank of England's communication strategy amidst Brexit-related economic challenges. The Monetary Policy Committee (MPC) faces a dilemma with a supply shock, inflation, and slowing growth. The bank plans to hold its position during Article 50 negotiations. The uncertainty surrounding a transition deal impacts business investment, with companies needing clarity to plan ahead.

What are the main challenges faced by the Bank of England as mentioned in the text?

What evidence is presented in the text regarding the UK's economic growth and inflation?

What does the text suggest about the credibility of the Bank of England in light of the current economic situation?

How does the uncertainty surrounding the Brexit transition deal affect businesses according to the discussion?

Discuss the implications of the 'Cliff edge' mentioned in the context of Brexit.