When Bank rate went up from 3 to 4 percent, a trader would reason that this was intended to have a restrictive effect on markets, and that, if the effect was not brought about, the rate would simply go higher and higher till it was.
In fact, the policy rate today is still negative in real terms; that is, once you adjust for inflation. Given this context, it is natural that our discussion centred on the main factors driving economic activity and inflation over our projection horizon, and the appropriate pace for returning the policy rate to a neutral stance.