Retuers are reporting that the BOE Chief........>

BOE: Retuers are reporting that the BOE Chief Economist Andy Haldane has said

that the MPC has yet to discuss whether it would sell gilts before raising Bank

Rate significantly.

- Recall that in an op ed piece for Bloomberg on June 22, Governor Bailey stated

that he believed that the size of the Bank's balance sheet should be reduced

before rates are increased.

- The Bank had previously always said that it would only begin to unwind QE when

rates had reached 1.50%.

- Haldane dissented against expanding QE at the June MPC meeting so we know he

wasn't as comfortable as the other MPC members regarding expanding asset

purchases.

- Under Carney the Bank had often spoken with one voice about such topics. Are

we starting to see a new era of divergence between MPC members in public? Or is

there just a divergence between Haldane and the rest of the MPC? Or will

Bailey's view not be shared by other MPC members? Either way it is an

interesting public disagreement between the Bank's Chief Economist and Governor.