Recommendation 15

The independence of the Bank, and the expansion of its remit, means that significant powers are delegated to, and exercised by, a small group of appointed officials who are not part of the elected Government. To meet HM Treasury’s inflation target, the Bank may act in such a way that counteracts the economic impact of the Government’s fiscal policy. It is therefore imperative that the Bank’s activities and its remit are effectively scrutinised by, and its officials are held accountable to, Parliament. Current parliamentary arrangements should be enhanced to achieve this.