The failure is of course the Bank of England's failure to meet the government mandated target of 2% inflation for the 22nd month in a row.
THE Bank of England's strategy to control soaring inflation was condemned as an 'epic failure' today as it hit a 3-year-high. Inflation rose to 5.2 per cent in September from 4.5 per cent driven by a jump in utility bills, as gas and electricity increased 13 per cent and 7.5 per cent respectively.The banks problem is of course that the economy and inflation are pretty much out of its hands due to the idiocies of government policy. Quantitative easing means that the currency is suffering due to the fact that owing to so much of it being in circulation, granted we're not at the Zimbabwe stage, but it is still having an effect. Energy bills too are way too high simply because of the governments "green" policies whereby we'rwe subsidising inefficient, unworkable and expensive solutions due to the Climate Change Act infamously passed by the House of Commons in October 2008 by 463 votes to three, whilst it was snowing outside. By the Government's own estimate, it would cost £404 billion to implement – £760 per household every year for four decades.
Thomas Paterson, Chief Economist at Gold Made Simple, said: "With today's numbers, inflation has reached an all-time high since CPI data began.
"This is the 22nd month in a row that the Bank has missed its government-mandated target of 2 per cent.
"Whatever external forces the Bank of England blames for the overshoot, the bottom line is that for all of 2011 it has created more than double the inflation the government has asked it to. By any standards, that's an epic failure.
So if it's an "epic fail" then it's one of the governments own making, if they stopped the idiotic spending and stopped printing money perhaps, just perhaps we could start to make some inroads on inflation, but I suspect it will take far more than the economists complaining or commenting.