The International Monetary Fund has been in Britain to undertake its annual Article IV consultation and has published an interim report. Its views on the economic outlook are similar to those of the Bank of England and it supports much of the policy response by the authorities, including quantitative easing (QE). But it warns that vulnerabilities remain and that more surgery on the public finances, particularly on the spending side, will be needed. Not too many people would disagree with that. Its preliminary assessment is here.
Meanwhile Bank of England’s monetary policy committee contemplated an additional £75 billion of QE before settling on £50 billion. The minutes of its May meeting are here.
Originally published at David Smith’s EconomicsUK blog and reproduced here with the author’s permission.
One Response to “The IMF on the UK”
The largest problem in the UK is the “Chartered Accountancy” (“God”) “profession”.It is almost as bad in other countries, but the “class deference” part of the Brit character gives these criminal an aura of “respectability”.Hence the people believe their figures.None of them ever do a proper audit, because they have made the company under audit indemnify them against all claims.Had the audited accounts been drawn properly AND adequately notated, everyone would have been warned about an imminent collapse, and the depression could have beenforestalled without nationalization of the banking system.The ROOT CAUSE OF ALL THE UK PROBLEMSIN NOT “GOLDEN GORDON or DITHERING DARLING” IT IS THE CPAs