Monetary stability

Topics

Monetary stability

Monetary stability means a lengthy period of stable prices and market confidence in the external value of a currency. Stable prices are defined by the inflation target, which the Bank of England seeks to meet through the decisions taken by the Bank’s Monetary Policy Committee (MPC).

Macro Case Study: Bank of England and inflation

Topical case studies
In the News Teaching Activity – How worrying is the recent increase in inflation? (Jan 2026)

26th January 2026
Essential A-Level Update: The UK Economy Before the 2025 Budget

16th October 2025
UK Base Rate Cut to 4% | Where Next for the Rest of 2025?

8th August 2025
In the News Teaching Activity – the £ has been appreciating against the $ (July 2025)

7th July 2025
In the News Teaching Activity – why did the Bank of England cut the bank base rate to 4.25%? (May 2025)

12th May 2025
Bank of England Cuts Interest Rates – What It Means for the UK Economy

6th February 2025
Bank of England's Rate Dilemma: Why Lower Interest Rates Won’t Drop Fast

7th November 2024
UK Economy: What are neutral interest rates?

25th September 2024
2.6.2 Monetary Policy Instruments

Study Notes
2.6.2. Role of the Bank of England (Monetary Policy)

Study Notes
IB Economics - Evaluation of Monetary Policy

Study Notes
IB Economics - Monetary Policy and Short-Term Demand Management

Study Notes
The Bank of England's Balancing Act: Navigating Inflation and Growth

2nd August 2024
Economic Winds Shift: Bank of England Cuts Interest Rates for First Time Since March 2020

1st August 2024
In the News Teaching Activity – Will the Bank of England cut base rates this summer? (May 2024)

16th May 2024
Is the UK's inflation target fit for purpose?

1st February 2024
UK interest rates likely to remain high for some time

28th November 2023
What is the difference between tight and loose monetary policy?

Study Notes
4.2.4.3 Central Banks and Monetary Policy (AQA A-Level Economics Teaching PowerPoint)

Teaching PowerPoints
2.6.2 Monetary Policy (Edexcel A-Level Economics Teaching PowerPoint)

Teaching PowerPoints
Why is macroeconomic forecasting so difficult?

6th August 2023
UK Interest Rates Climb to 4.5% - Highest since 2008

12th May 2023
Inflation has made us poorer but whose fault is it?

1st May 2023
UK Economy - New Revision Videos on Growth and Monetary Policy

25th April 2023
UK Economy - How Best to Bring Down Inflation?

Topic Videos
Monetary Policy - How Rising Interest Rates affect Aggregate Demand

Topic Videos
Is the Bank of England set to issue a digital pound?

7th February 2023
BoE raises interest rates to 4% - the highest for 14 years

3rd February 2023
How can a central bank combat high inflation?

Study Notes
Policies to Control Inflation

Study Notes
Monetary Policy - What is Quantitative Tightening?

Topic Videos
Monetary Policy - Bank of England starts to reverse QE!

1st November 2022
Bank of England raises interest rates to 2.25% - highest level for 14 years

22nd September 2022
Is this a time for central banks to be more cautious in raising interest rates?

12th September 2022
Monetary Policy - How does raising interest rates control inflation?

17th July 2022
Monetary Policy - Bank of England walks tightrope on interest rates

15th February 2022
Monetary Policy - Bank of England raises interest rates from 0.1% to 0.25%

17th December 2021
Monetary Policy - Different Approaches to Tackling Inflation

26th November 2021
UK Economy - The Surge in Inflation

Topic Videos
Inflation - Are the musings of the MPC irrelevant in the inflation debate?

21st October 2021
Monetary Policy - UK interest rate rise likely before the end of 2021

12th October 2021
Monetary Policy - Selection of Revision MCQs

Practice Exam Questions
Managed Floating Exchange Rates

Study Notes
Inflation - Policies to Control Inflation

Study Notes
What next for UK interest rates in 2020?

Topic Videos
Advantages and Disadvantages of Higher Interest Rates

Topic Videos
Economic Effects of Higher Interest Rates (Revision Essay Plan)

Practice Exam Questions
UK Economy Update 2019: Monetary and Fiscal Policy

Topic Videos
Quantitative Easing (Monetary Policy Update - 2019)

Study Notes
Unintended consequences of inflation targets

27th November 2018
Monetary Policy - Effects of Interest Rate Changes

Study Notes
Monetary Policy in the UK (Revision Webinar Video)

Topic Videos
Test 6: A Level Economics: MCQ Revision on Monetary Policy

Practice Exam Questions
How the Fed Works: After the Great Recession

5th April 2018
Shaking the Magic Money Tree

29th January 2018
Why the Bank of England has raised interest rates

2nd November 2017
Normalising interest rates

30th October 2017
The absurdity of controlling inflation by adjusting interest rates

25th October 2017
UK interest rate rise a sign of economic healing

28th September 2017
Raising the Inflation Target (Evaluation Skills Video)

Topic Videos

Explore

More for students

Subjects

Quick links

Student events & courses

Free Economics resources

Topics

Monetary stability