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The UK chancellor has backed higher interest rates to curb soaring inflation, even if it pushes Britain into recession.
Jeremy Hunt told Sky News on Friday: “It’s not a compromise between tackling inflation and recession. Ultimately, the only path to sustainable growth is to bring inflation down.
When asked specifically if he supported the Bank of England in raising interest rate To tame inflation, even if it precipitates a recession, he said, “Yes, because ultimately inflation is a source of instability.”
In order to encourage growth, the government must “support the Bank of England in the difficult decisions it takes”, he added.
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