Bank of England's policymaker sees recovery at end of 2009

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

"As we go through 2009, I believe that it is most likely the pace at which output is contracting will ease and that we will see some signs of recovery by around the turn of this year," the BoE's chief economist said in a speech.

Dale's outlook was consistent with the latest edition of the Bank of England's quarterly Inflation Report, which was published in February, though he said more action may be needed to ensure recovery by the end of the year.

"I think the risks around this central path are weighted to the downside, reflecting the possibility that the actions taken by the authorities around the world ... are slow to take effect. So there may still be more to do."

Dale said the immediate economic outlook was gloomy, though recovery was likely later.

"Although immediate prospects appear bleak, the substantial economic stimulus that is underway means that there are grounds for thinking that economic conditions may start to improve later this year," he said.

Once recovery set in, the Bank would be as quick to tighten policy as it had been to tighten it. "When the time comes, we will be prepared to respond with equal vigour on the way back up," he said.

Meanwhile there were promising early signs from the Bank of England's asset purchase schemes, the cornerstone of its quantitative easing policy, though it was too early to be sure, Dale said.

The Bank of England would review each month the scale of the asset purchase scheme, currently set at £75 billion over three months, he added.