LONDON (CU)_Back in 2009, during the global financial crisis, the Bank of England began using quantitative easing (QE) policies, which involves the creation of money by buying government and corporate bonds. Just like most other central banks across the globe, the policy was used by the BoE once again in response to the economic downturn caused by the COVID-19 pandemic.
However, the House of Lords recently warned that the central bank risks becoming too dependent on the use of QE, which according to the economic affairs committee of the upper house of Parliament, is widening the wealth gap in the country by boosting asset prices.
“The Bank of England has become addicted to…
