A Bank of England policymaker has said she will “act big” on interest rate cuts when it is clear that persistent inflation pressures in the UK have been removed.

Catherine Mann, economist and member of the Bank’s Monetary Policy Committee (MPC), has not yet opted for a rate cut.

This is despite the MPC majority voting in favor of a cut in August and again in November, bringing the base rate down to 4.75%.

Ms Mann, speaking on the panel of women central bankers at the BNP Paribas Global Markets conference, said she was taking an “activist” stance on the nine-member committee.

Indeed, she believes that price increases should not be integrated into the British economy after a period of high inflation.

Ms Mann said: “In the last vote I chose to maintain it, rather than cut it with the rest of the committee, because, in my view, there is an external risk of inflation, already built in, potentially in the future… and in this environment it is important to hold out longer.

“And then, when I have evidence that there has been sufficient suppression or moderation of the persistence of inflation, then I will take a bigger step.”

The economist said monetary policy can “have an immediate effect on firms’ pricing decisions and an immediate effect on inflation expectations”, which she called “critical” to consider when of setting rates.

“That’s why part of my activist strategy is that when I move, I’m going to do it big,” she said.

Last week, Bank of England Governor Andrew Bailey said a “phased approach” was needed to cut interest rates so the MPC could assess various economic factors, including the government’s fiscal plans .