Reform UK has set out ambitious plans to overhaul two of Britain's most important economic institutions, signalling a significant shift in how the country's monetary and fiscal frameworks could operate if the party enters government.

The proposals, unveiled by Robert Jenrick—named as Reform's would-be finance minister—target both the Bank of England and the Office for Budget Responsibility. Jenrick accused the BoE of losing focus on inflation through its climate change work and suggested the central bank had previously "taken its eye off the ball" on price stability.

Bank of England Changes

Reform's blueprint for the Bank of England includes bringing more business people onto the interest rate-setting Monetary Policy Committee. The party argues this would bring practical commercial experience to monetary policy decisions, though it has pledged to maintain the institution's operational independence—a reassurance aimed at financial markets.

The party also proposes stripping the central bank of what it describes as "distractions" related to climate change work, allowing it to concentrate exclusively on inflation control and financial stability.

Budget Office Reforms

The Office for Budget Responsibility would face equally significant changes under Reform's plans. The party proposes introducing "super-forecasters"—experts selected through competitive processes based on their track record of accurate economic modelling—to improve the OBR's fiscal projections.

Jenrick has been critical of the OBR's recent work, claiming it has underestimated the economic benefits of tax cuts and overestimated the positive impact of low-skilled migration on the economy.

Political Context

Reform's proposals represent a careful balancing act. The party is riding high in opinion polls but must convince investors it would be a responsible steward of the economy. The approach contrasts sharply with the chaos of Liz Truss's 2022 "mini-budget," when the then-Prime Minister sidelined the OBR and floated reviewing the Bank of England's mandate, triggering a bond market crisis.

Jenrick, who served as a junior minister under Truss, appears determined to avoid repeating those mistakes while still delivering on Reform's promise of economic change ahead of the next general election, due in 2029.