Ministers are trotting out the opinion that the Bank of England sets interest rates and so any coming mortgage crisis is not their fault. Therese Coffey is doing so on this morning's media round.

Journalists need to know that this is not true. The Bank of England is supposedly independent of the government. The Bank of England Act 1998 created this supposed situation. But there is a provision in the Act that people need to know about. It is section 19, which says this:

The definition of an ‘extreme economic circumstance' is, of course, open to interpretation, But if a situation where millions of households face mortgage bills they cannot afford,  with many more millions in rentals properties also seeing their rents rise for the same reason, then I am not sure what an economic emergency might be.

In other words, right now the Treasury has the most certain power to intervene in the actions of the Bank of England and, if it wishes, set interest rates.

My point is a simple one, and is that the excuse that ministers are using to defend their inactivity is invalid: they can and should intervene to set interest rates in the public interest right now. If they do not then they are in failing in their duties.