The Bank of England governor has defended delays in raising interest rates.
The bank yesterday hiked interest rates to 1.75 percent – the highest level in 27 years – and warned the UK will plunge into a year-long recession this autumn.
Mr Bailey said previous rate hikes could have hurt Britain’s economic recovery from the pandemic.
It came after claims by politicians, including Attorney General Suella Braverman, that the bank had fallen asleep at the wheel and allowed inflation to spiral out of control.
Mr Bailey told BBC Radio 4’s Today program he didn’t think the bank had acted too slowly and that earlier action could have brought about a recession.
“We don’t make politics after the fact,” he added.
“I would challenge anyone who sat here a year or two ago to say that there will be a war against Ukraine and that will have this impact on inflation.”