HC Deb 28 March 1988 vol 130 c316W
Mr. Barron

To ask the Chancellor of the Exchequer what policy objectives, besides the control of inflation, influence the determination of United Kingdom interest rates.

Mr. Lilley

As the Chancellor made clear in his Budget speech, short-term interest rates remain the essential instrument of monetary policy, and, within a continuous and comprehensive assessment of monetary conditions, they are set at the level necessary to ensure downward pressure on inflation in the framework of the MTFS.

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