Bank of England’s McCafferty: clearly beneficial if UK has Brexit transition

Ian McCafferty, Monetary Policy Committee member of the Bank of England speaks during a Reuters interview at the Bank of England in London

LONDON (Reuters) – Bank of England rate-setter Ian McCafferty said on Thursday it would be “clearly beneficial” for Britain’s economy if the country can strike a deal to ensure a smooth transition as it exits the European Union.

“On a personal level, I would think it would be helpful as long as it can be negotiated … I come from a business background and what we do know is that businesses do not like sudden change,” McCafferty told LBC radio.

“If we can have a transition period so that they can adapt to the new trading and investment relationships that would clearly be beneficial for the economy.”

In January, Governor Mark Carney said such a deal would be “highly advisable”.

McCafferty, who voted to raise interest rates last month, said business surveys suggested that Britain’s economy was getting over a loss of momentum early in the year and businesses were “getting on with things”.

(Reporting by Andy Bruce and William James; Editing by William Schomberg)