31 OCTOBER 1998, Page 30

Pass the parcel

BLAME at such times gets passed from hand to hand like a game of pass the parcel. The Treasury's instinct is always to pass it to the Bank of England. We do hope, says the Chief Secretary pointedly, that the Bank will cut interest rates — stuffy Old Lady, why doesn't she get on with it? The Chancellor then says what splendid experts there are on the Bank's Monetary Policy Committee. (Well, he did put them there.) No slouch at this game, the Old Lady blames the statistics which are brewed up in the Treasury's back kitchen. She attained her long-sought independence of action last year, gave up much for it, and will now see what it amounts to when the heat is on. Sparks will fly if she proves to be free to do what the Treasury wants.