Which body, headed by a Governor, sets UK interest rates through its Monetary Policy Committee?
Answer and explanation
Correct answer: D. The Bank of England
- Step 1: The Monetary Policy Committee comprises nine members, including the Governor of the Bank of England, and is responsible primarily for keeping the Consumer Price Index (CPI) measure of inflation close to a target set by the government, currently 2% per year (as of 2019). Answer: The Bank of England. Why not the others: The Treasury, The Office for Budget Responsibility and The Financial Conduct Authority don't fit.
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