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Is Bank of England independence really that important?

Prior to the Bank of England receiving total independence from the government of the day there had been numerous charges of political interference in various aspects of the UK economy, with the direction of base rates the more common complaint. In the past we have seen governments move interest rates in an advantageous manner ahead of a general election to try and boost their own chances of being victorious again. However, with independence many believe that this situation has changed forever but what if independence is taken away?

There has been a suggestion that the Bank of England may well lose its independence from the government of the day with the Labour government set to introduce sweeping changes to this area of the UK. While there would be serious implications in taking back the Bank of England's independence, a need to be "singing from the same hymn book" seems to be paramount in political circles. So how would this go down with voters?

While initially voters may well show some concern, as with any political moves and changes the proof is in the pudding. If political parties were able to show themselves to be conscientious and acting for the good of the UK economy at all times, little would be said. However, if political bias and political timing came into contact with the Bank of England then those decisions could cause serious issues between political parties and voters.

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