June 9, 2014 / 4:32 PM / 6 years ago

Bank of England's McCafferty says rate hike decision now more balanced

Ian McCafferty, Monetary Policy Committee member of the Bank of England speaks during a Reuters interview at the Bank of England in London February 24, 2014. REUTERS/Suzanne Plunkett

LONDON (Reuters) - The case for the Bank of England to raise interest rates is becoming more balanced, though there is still scope for the economy to grow further before rates go up, BoE policymaker Ian McCafferty said on Monday.

A minority of BoE policymakers - who were not named - said in May’s policy minutes that the case for a rate rise was strengthening, and McCafferty said in a radio interview that he believed this was the case too.

“A year ago with the economy flat on its back, it (was) a very easy decision to make as to quite what the appropriate level of interest rates is,” he told London radio station LBC.

“After a year of relatively strong growth, in which we have seen a sharp fall in unemployment, and some very modest improvement now in nominal pay scales ... then you have to say that the decision becomes more balanced,” he added.

Reporting by David Milliken and Ana Nicolaci da Costa

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