Newest BoE MPC: Brexit to force rates up to 3.5% on Pound collapse

The Bank of England will have no choice but to raise its interest rate to 3.5% by the end of 2017 if Britain votes to leave the EU, notes Michael Saunders, the newest member of the rate-setting MPC, due to join in August.

Andrew Oxlade, via the Telegraph UK, notes that in Saunder's view, "the drastic rise would be needed because Brexit would cause the pound to collapse, which would send inflation sharply higher."