Indeed - it was set up long before Ukraine or Liz Truss. But aside from bad long term energy policy, the incompetence of Andrew Bailey can't be ignored in my view.
In July 2021, Andrew Bailey said "Our forecast at the moment is that we do expect inflation to pick up in the next month or so really ... At the moment we don’t see that evidence [of long term inflation] but we will watch it, of course we must do, very carefully."
So he took no action.
By October 2021 his colleague Hugh Pill said "The magnitude and duration of the UK's inflation spike is proving greater than expected …"
And yet they continued to do nothing. They continued to claim inflation would rise to a few percent and then drop back.
It may be reasonable to say that they couldn't foresee Ukraine, but the inflationary pressure was already there, as you say partly because of Covid bailout money printing, but also from the supply side because of China's zero Covid policy, which was already recognised by many, but not by the Bank of England apparently, as being a fairly major contributor of inflationary pressure [1].
In July 2021, Andrew Bailey said "Our forecast at the moment is that we do expect inflation to pick up in the next month or so really ... At the moment we don’t see that evidence [of long term inflation] but we will watch it, of course we must do, very carefully."
So he took no action.
By October 2021 his colleague Hugh Pill said "The magnitude and duration of the UK's inflation spike is proving greater than expected …"
And yet they continued to do nothing. They continued to claim inflation would rise to a few percent and then drop back.
It may be reasonable to say that they couldn't foresee Ukraine, but the inflationary pressure was already there, as you say partly because of Covid bailout money printing, but also from the supply side because of China's zero Covid policy, which was already recognised by many, but not by the Bank of England apparently, as being a fairly major contributor of inflationary pressure [1].
[1] - https://www.asiapacific.ca/publication/china-has-hit-inflect...