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Source: Daily Mail, LondonNov.儲存 14--The Governor of the Bank of England was yesterday forced to defend his pet policy of 'forward guidance' as it emerged nearly half of households expect interest rates to rise within 12 months.Mark Carney said the pledge not to raise rates until unemployment falls to 7pc or lower is still providing 'confidence to businesses and households'.But a survey by Ipsos Mori and Markit showed that 47pc expect a rate rise within a year and 25pc say six months ? far sooner than planned by the Bank.'The earlier rate hike expectations most likely reflect the ongoing flood of good news on the economy that we have seen in recent weeks,' said Chris Williamson, chief economist at Markit.The Bank yesterday raised its growth forecasts for 2013 from 1.4pc to 1.6pc and for 2014 from 2.5pc to 2.8pc in the most upbeat inflation report for years.It said there is now a 50-50 chance that unemployment will reach the 7pc threshold in the final three months of 2014 ? some 18 months to two years earlier than predicted in August. The revised forecast suggested that interest rates could rise from the current all-time low of 0.5pc as soon as next year or in 2015 rather than in late 2016. The pound rose above $1.60 against the dollar and euro 1.19 against the euro as investors bet on an early rise.Challenged about the point of forward guidance given the dramatic revision to forecasts, Carney said: 'Let's say we didn't have forward guidance. The discussion would be: "Is the Bank going to raise rates today?" No one is asking that question toda迷你倉 and rightly so because that would be foolish, that would put us in a position of taking a recovery which is finally taking hold and basically pulling the rug out from under it.' Carney insisted that the 7pc unemployment threshold set by the Bank is a 'staging post' for reassessing interest rates 'not a trigger for an automatic increase'. He suggested that rates will not need to rise if inflation remains under control having fallen to 2.2pc in October ? close to the Bank's 2pc target. 'One could imagine a scenario where the unemployment threshold is reached and that the best policy for the MPC at that period of time is to keep rates at current levels because the trade-off between output and inflation is attractive,' said Carney. But Simon Smith, head of research at currency experts FxPro, said the Bank has 'shot itself in the foot' by pegging the outlook for rates so closely to unemployment. He pointed out that the Bank's latest forecasts for inflation ? which see it falling back below the 2pc target in early 2015 ? suggest no rate hike is needed for some time.But Nida Ali, economic adviser to the EY Item Club, said the report has 'created some confusion' about the outlook for interest rates.She said: 'MPC members were once again at pains to highlight that the fall in the unemployment rate will not trigger an automatic rate rise. But financial markets are unlikely to be convinced.'Copyright: ___ (c)2013 Daily Mail (London, ) Visit the Daily Mail (London, ) at .dailymail.co.uk/home/index.html Distributed by MCT Information Services儲存倉