Week Ahead

• Politics and policy are likely to take centre stage in the holiday-shortened week ahead. Headlines over the weekend suggested that Chancellor Sunak is considering a GBP30bln tax increase with almost all the tax hike coming from businesses or the wealthy.
• Governor Bailey confirmed at Jackson Hole last week that he thought the Bank of England had been too cautious about using up its firepower before COVID but also pointed out that hindsight was a wonderful thing.
• On the policy agenda, we will hear from six different MPC members this week (with Wednesday the busiest day). Governor Bailey, Ramsden and Vlieghe will all testify before the Treasury Select Committee, kicking off at 14:00BST. While this event continues Broadbent will give the keynote speech at the CEBRA Annual meeting followed by Bank Chief Economist Haldane chairing a panel beginning at 1630BST. Governor Bailey will then speak again on Thursday on cryptocurrencies before Saunders rounds off the week with a speech on the economy's recent performance and the outlook.
• In terms of economic data, the highlight will arguably be the release of the BOE Decision Maker Panel data on Thursday. We will also receive the final PMI data for August.

For the full document including auction previews, QE tracker and BOE purchase analysis, cash flow matrix and issuance calendars see the Gilt Week Ahead by clicking here.