Mervyn King
Media playback is unsupported on your device

Sir Mervyn King warns of eurozone risk

The Bank of England has cut its growth forecast for this year to around 0.8%.

Sir Mervyn King said inflation would not fall as quickly as previously thought and is expected to remain above the government's target of 2% for the next year or so.

In his report he also warned of the risk faced to the UK by the eurozone crisis.

  • 16 May 2012
Go to next video: UK economy 'will see steady recovery'