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Bank of England: Monetary Policy Committee

Volume 715: debated on Monday 7 December 2009

Question

Asked by

To ask Her Majesty's Government whether the Treasury official attending the monthly meetings of the Bank of England's Monetary Policy Committee is entitled to speak at those meetings; and, if so, whether he or she does so. [HL206]

The Bank of England Act 1998 sets out the statutory framework for the Bank of England, including the role and composition of the Monetary Policy Committee (MPC), and provides that “a representative of the Treasury may attend, and speak, at any meeting of the Committee”.

The non-voting Treasury representative plays a key role in liaison between the Treasury and the Bank to ensure appropriate co-ordination of fiscal and monetary policy. For example, the Treasury representative will brief the MPC confidentially in advance of major events such as the Budget and the Pre-Budget Report.