BoEs Greene Not Close to Rate Hike Amid Mideast Conflict

LONDON — Bank of England Monetary Policy Committee member Megan Greene stated on Wednesday that she was not close to supporting an interest rate increase at the panel's most recent meeting, which focused heavily on the economic fallout from the escalating conflict in the Middle East between the United States, Israel, and Iran.

Speaking at an event hosted by U.S. investment bank Jefferies, Greene, widely regarded as one of the committee's more hawkish members, emphasized that she "wasn't tempted to hike." The Monetary Policy Committee had voted unanimously last week to maintain interest rates at their current level, while signaling readiness to adjust policy to steer inflation back toward the bank's 2 percent target amid the war's disruptions. Although some committee members indicated a potential need for rate hikes, Greene's remarks highlighted growing concerns over persistent inflation without pushing for immediate action.

Greene noted that risks of inflation becoming entrenched have increased "perhaps significantly," attributing this in part to heightened sensitivity among British households to price shocks. She referenced a Citi survey released Tuesday, which showed one-year...