The June and August meetings of the MPC were different from the three that preceded them, being literally on the horns of the growth-inflation dilemma.
Although inflation had firmed up a bit in February and March, its abrupt and significant retreat in April caused the MPC to lower the forecast path of inflation for 2017–18 from 4.5 per cent in H1 and 5 per cent in H2 to 2-3.5 per cent in H1 and 3.5-4.5 per cent in H2 in its June meeting.