Overview

• Pill publicly criticized last week’s MPC move to cut the pace of balance‑sheet runoff, arguing the Bank should have continued with faster sales.
• The MPC reduced planned active gilt sales from £100bn to about £70bn over the next year, with external member Catherine Mann favoring roughly £62bn.
• He was the sole dissenter on the nine‑member committee, saying market functioning could cope and that other tools are available if strains emerge.
• Pill said pension‑scheme shifts and stretched public finances are driving yields more than QT, calling the slowdown a temporary palliative.
• He noted QT losses reflect fiscal‑rule design rather than central‑bank failings, as taxpayer costs are projected to exceed £100bn after adding £18bn to borrowing last year.