BoE joins the 8-meetings-a-year club

Bank of England is cutting the number of regular policy meetings its MPC holds every year to eight. Until now, the MPC has met every month to set monetary policy.

In September 2015, the Bank announced that the Monetary Policy Committee (MPC) would move promptly to a schedule of eight regular meetings a year once the Bank of England Bill had received Royal Assent.

With the Bill having received Royal Assent on 4 May, making it an Act of Parliament, the Bank can now confirm the MPC will move to this new schedule.

Following its previously announced intentions, the scheduled MPC meeting ending on 13 October will be the first to be dropped under the new arrangements. Similarly, the meetings provisionally planned for January, April, July and October 2017 would also be removed from the schedule. The meeting schedule for the MPC will be updated as usual this autumn.

Scheduling eight policy meetings a year is becoming common practice among inflation targeting central banks.

Those who follow such 8-meetings-a-year routine include my former employer the Czech National Bank or Bank of Canada.

New Zealand's Reserve Bank is an exception, having switched as of this year to reviewing policy seven times a year instead of the previous eight times a year.