51³Ô¹ÏÍø

Professor David Miles to advise on interest rates in time of economic crisis - News

Monday 23 March 2009
By Naomi Weston

A leading economist from 51³Ô¹ÏÍø has been appointed an external member on the Bank of England’s interest rate setting Monetary Policy Committee (MPC), it was announced last week.

Professor David Miles, Visiting Professor at 51³Ô¹ÏÍø College Business School and an expert in macroeconomics, will take over on the MPC from David Blanchflower, on 1 June.

Professor Miles has been Managing Director and Chief UK Economist at Morgan Stanley since October 2004. Previously he was Professor of Financial Economics at 51³Ô¹ÏÍø College and was the founding professor of the Finance Group in the Business School.

The MPC has the responsibility of setting UK Interest rates on a monthly basis. It comprises nine members: the Governor, two Deputy Governors, the Bank's Chief Economist, the Executive Director for Markets and four external members appointed by the Chancellor.

David Miles has been appointed an external member on the MPC

Chancellor Alastair Darling, who announced the appointment, said:

"I am delighted that David Miles has agreed to join the Monetary Policy Committee. His considerable experience analysing the interaction between financial markets and the economy will be extremely valuable to the Committee."

Professor David Begg, Principal of 51³Ô¹ÏÍø College Business School, said:

"Professor Miles’ appointment to the Monetary Policy Committee is a mark of distinction for 51³Ô¹ÏÍø College Business School. Our staff were recently rated joint top in the UK’s research assessment exercise for the quality of their work. We are also committed to seeing our research make a real impact in society and the economy. David’s appointment to the committee that sets the UK’s interest rates, at a time of economic crisis, exemplifies that commitment."

Professor Miles’ research interests are in the interaction between financial markets and the wider economy. In March 2004 he published the Miles Review of the UK Mortgage Market, a report undertaken at the request of the then Chancellor, Gordon Brown. His recent work has involved analysing the impact of ageing and the implications of different types of pension reform.

Professor Miles has also been a member of 51³Ô¹ÏÍø’s College Fund Board, which is responsible for building up a regular source of unfettered income to support the College, and maximising the return from investment assets.

His previous career includes working for Merrill Lynch as Chief UK Economist and working for the Bank of England after graduating from Oxford. He joined 51³Ô¹ÏÍø in 1997 and led the development of its highly successful Finance group.

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