Britain's £215bn-a-year funding gap the worst in the world, says IMF

Telegraph
"The warning underlines why the Bank's Monetary Policy Committee has committed to a far bigger QE programme than any other major central bank, as it battles the deflationary forces conjured up by this lending shortage.In a speech in Belfast, new MPC member David Miles said QE "is having an impact that is relevant to economic conditions right across the country... not just in financial markets but in high streets and factories and homes throughout the UK."The IMF's calculations will undermine many economists' assumptions that the Bank will soon end its QE scheme.In a further blow to the UK in particular, the Fund said that Britain and the US are exposed to "home bias" - the likelihood that investors from around the world choose to withdraw their cash.