By Hugo Duncan PUBLISHED: 19:40 EST, 20 March 2013 | UPDATED: 02:47 EST, 21 March 2013 George Osborne yesterday handed the Bank of England sweeping new powers to kick-start the economy – following talks with its new Canadian governor. In a shake-up of monetary policy, the Chancellor said the central bank should focus on boosting jobs and growth and not just controlling inflation. But the change of direction has fuelled fears Britain faces a prolonged period of record low interest rates and above-target inflation in a crushing blow to savers and pensioners. Campaigners accused the Chancellor of ‘a disgraceful betrayal of Britain’s savers’.
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Chancellor handed new powers to Bank of England in bid to boost growth
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George Osborne said Bank should focus on boosting jobs - not just inflation
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Move outlined in Budget has been signed off by incoming governor
Mr Osborne said the @placeholder will still have a 2 per cent inflation target – but added it was no longer enough to spur the economy.