Bean stalks deputy governor role, say reports

Bank of England chief economist Charles Bean is set to be appointed to the role of deputy governor with responsibility for monetary policy this week, it has been reported.

Current office holder Ruth Lomax has decided to step down and not seek another term when her current one expires on June 30th, creating the vacancy that Mr Bean is now expected to fill.

As Mr Bean is already a member of the monetary policy committee (MPC) and Ms Lomax is leaving this as well, a new member may be appointed to bring the body's numerical strength back up to nine.

If Mr Bean's influence and the instincts of the new members are cautious over cutting interest rates in the face of inflationary pressures, the new-look MPC may not be inclined to take action in the next few months to lower mortgage interest rates.

Those looking to get on the housing ladder may decide that self build is the best way forward, rather than waiting to see how the MPC approached the interest rate issue in the months ahead.

In May's meeting the MPC voted by eight to one to hold the base rate, while this month also saw a vote for no change, though by what margin will not be made clear until the minutes of the meeting are published on June 18th.