§ Let me begin by turning to my forecast for growth. I expect the British economy to grow by 2 per cent. this year and 3½ per cent. next year—and there are few serious commentators who would disagree with me. I hear mutterings from the shadow Chancellor; there are few serious commentators who would disagree with me.
By keeping a close eye on the prospects for inflation up to two years out, and by taking sensible early action if and when necessary, I intend to ensure that healthy growth continues without inflationary pressures emerging. That is what I have always promised—no return to boom and bust.