Bank of England chief defends economic forecasts

Bank of England Governor Mervyn King mounted a defence of the central bank’s forecasts today as he warned the UK economy would be “far from normal” for some time.

The strong pace of growth predicted by the Bank’s recent inflation reports has been criticised as over-optimistic by some experts, but Mr King stressed the UK would take a “considerable period” to return to the level of output seen before the recession.