East Yorkshire Students Encouraged to Join Bank of England Challenge

The Bank of England 'Interest Rate Challenge' is aimed at 16-18 students of economics or business.  It will see teams of four pupils from schools and colleges across the UK adopting the role of the Bank’s Monetary Policy Committee (MPC), which meets regularly to determine the official interest rate for the UK in order to meet the Government’s inflation target of 2.0%.  In addition to setting Bank Rate, teams will consider the option of financial asset purchases or sales to inject money into, or withdraw money from, the economy to meet the inflation target.

Teams will make a live presentation of their assessments to a panel of Bank of England judges.  The presentations will be organised in two rounds – Regional Heats and Area Championships.  There will be a Regional Heat in Yorkshire and the Humber.  The top schools will then progress to the Area Championships in six locations across the UK between the end of February and early March 2017. 

The six Area Championship teams will receive a Bank of England Interest Rate Challenge trophy for their school or college and individual prizes.  Selected students from each of the Area Championships will be awarded a short internship at the Bank of England. 

Graham Stuart MP has written to headteachers in Beverley and Holderness to urge them to encourage pupils to enter the challenge. 
Graham said, “The Bank of England’s Interest Rate Challenge is a great scheme to demystify monetary policy and help young people understand how our central bank weighs up all the factors involved in making these hugely important decisions.  It should be fascinating – and fun – for all students interested in economics.

“I have written to headteachers across my constituency to ask them to consider entering teams in the Challenge and I hope there will be a strong East Riding presence – and maybe even a local winning team.”

The Bank of England’s Deputy Governor for Monetary Policy, Ben Broadbent, said, “The Challenge is open to all 16-18 year old students with an interest in learning how the British economy and monetary policy work.

“With the help of resource material provided by the Bank, the teams will consider a range of economic data and information – consumer spending, employment, wages, investment, productivity and growth, the exchange rate and the international economy to name just a few.  Using the information and data, they must determine how these factors will combine to affect the outlook for the UK economy and inflation, before deciding on the appropriate monetary policy to achieve the 2.0% inflation target.”