There was no easy option for the Bank of England’s Monetary Policy Committee (MPC) this week. Raising interest rates, even by a small amount, could add to financial instability following the collapse of Silicon Valley Bank and takeover of Credit Suisse over the past few weeks. But holding the base rate at 4 per cent might lead to accusations of ignoring double-digit inflation, which rose on the year in February for the first time since the Consumer Prices Index (CPI) peaked last October.