Central Banker to Britons: You’re Worse Off. Accept It

Surely he merely wanted to avoid an inflationary feedback loop…

The Bank of England’s chief economist has a harsh message for Britons: “Someone needs to accept that they’re worse off.” The economist, Huw Pill, said on a podcast that there had been a reluctance by workers and companies in Britain to accept that they were poorer, primarily as a result of Europe’s energy shock. Instead, he said, workers are trying to pass along rising costs to employers by demanding higher wages, while companies are passing on their higher expenses to customers. That “pass-the-parcel game,” he said, is generating inflation that could be persistent.

… but…

The comments were quickly followed by indignation.

“You need to accept you are poorer!” The Daily Mail splashed in large letters across its front page on Wednesday, adding that Mr. Pill earned £190,000 (about $237,000) a year. … Mr. Pill joined the Bank of England from Harvard Business School. He previously worked at Goldman Sachs and the European Central Bank.

… never mind the tabloids’ pointing out that the JC class might be exempted:

‘Rich just get richer while poor have to accept being poorer’

Brian Reade on this week’s slap in the face from the Bank of England’s Huw Pill, hard to stomach when you consider the pay of FTSE 100 bosses surged 23% last year as ordinary folk flatlined