Digital boost to productivity since pandemic likely to last-BoE’s Bailey

Financial and Professional Services Address in London
FILE PHOTO: Bank of England Governor Andrew Bailey speaks at the Financial and Professional Services Address, previously known as the Bankers dinner, at Mansion House in London, Britain July 1, 2021. Stefan Rousseau/Pool via REUTERS

July 9, 2021

LONDON (Reuters) – Bank of England Governor Andrew Bailey said he expected that an increase in productivity gains brought about by more investment in technology since the onset of the coronavirus crisis would prove to be lasting and grow.

“The big question – to which of course it’s too soon to provide any firm answer – is to what extent are these changes going to persist and further expand,” Bailey said during a panel discussion on the sidelines of a meeting of Group of 20 policymakers.

“My best guess – for what it’s worth – is that I think that to some considerable degree they will, because we are essentially all adaptive creatures in that sense.”

(Writing by William Schomberg, editing by David Milliken)