Bank of England's Tenreyro suggests earlier rate cuts to prevent inflation undershoot.

Bank of England policymaker, Silvana Tenreyro, has said that the bank will probably need to start cutting interest rates sooner than previously thought after raising them sharply in recent months despite signs of weaker inflation pressures. Tenreyro expects that the high current level of Bank Rate will require an earlier and faster reversal to avoid a significant inflation undershoot. She also said there were signs of a cooling in the labour market from private-sector pay growth data, which had fallen back sharply in recent months, and she expected inflation would fall well below the BoE's 2% target.