Haskel sees downside risks and open to more stimulus

Key highlight's from Haskel's Annual Report:

• "With downside risks to the outlook and taking risk management into consideration, as I have done previously, I remain open to the possibility that the economy might need further support to return inflation to target sustainably."
• "For me, risks to activity remain very much to the downside, I view risks to the supply outlook as balanced, as laid out in the MPR."
• "There is a downside risk from more persistent changes to the composition of spending in the economy requiring a greater degree of resource reallocation between sectors, and leading to more capital scrapping, which would likely weigh on supply growth. But there is also an upside risk from greater investment in intangible assets and digital technologies to support new business models, which could lift productivity growth. That said, as pointed out in a number of speeches, I am less convinced about any aggregate productivity benefits from increased homeworking. The vast majority of firms, according to ONS surveys, does not intend to make homeworking a permanent feature of their business models."