The Bank of England is preparing the ground for lower interest rates

For some reason which no-one can quite remember, when economists talk about interest rates they invariably find themselves referring to species of birds. They call those who are broadly in favour of lower interest rates 'doves'. Those who are keen on higher borrowing costs are 'hawks'. Analysts in the City of London draw up diagrams of the nine members of the Bank's Monetary Policy Committee, denoting how many of which bird there are at each meeting.

Right now markets reckon it could come as soon as June, and some economists think there's an outside chance of it arriving in May. It's just a question of how quickly the neutrals turn dovish. The pound fell slightly after news of the vote . Read more:Bank of England keeps interest rate at 5.25% but cut moves closer And all of this silliness about birds belies a more straightforward, less avian, story. Inflation - the main thing the Bank is targeting - is dropping.

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