A week is a long time in monetary policy.
After Bank of England Monetary Policy Committee member Martin Weale declared last week that consumers and businesses weren't panicking in the wake of the Brexit vote, the outgoing rate-setter has changed his mind.
On July 18 Weale pushed the pound lower when he said he'd seen no sign of consumer or business panic after the U.K.'s vote on June 23 to leave the EU, and called for "firmer evidence" before monetary easing.
But in an interview with the Financial Times published on Tuesday Weale said purchasing managers' indices published on Friday by Markit Economics had prompted him to think again.
"They are the best short-term indicator we have at the moment. I certainly feel they are very material for the decision we'll be taking next week," he told the newspaper.
He said the figures were "a lot worse than I had thought" and showed "expectations have worsened sharply".
"I see things rather differently from what I would have done had we not had those numbers and the material point is that they were collected after July 12, so after the initial shock of the referendum," he added.
Benchmark rates have sat at a record low of 0.5% since March 2009. The Bank of England on July 14 defied expectations of a post-Brexit rate cut by leaving monetary policy on hold but Governor Mark Carney pointed to easing over the summer.
The pound was down against the euro but little changed against the dollar by mid-morning in London.
The yield on the U.K. 10-year benchmark bond was recently down 2 basis points at 0.78%, while the FTSE 100 benchmark U.K. equities index was up 0.18% at 6,722.17. Royal Bank of Scotland (RBS) and Barclays (BCS) moved more than 1% lower.
One euro bought 83.85 pence, a rise of 0.20%. The pound recently bought $1.341.
Weale steps down from the MPC after its next policy meeting on Aug. 4.