LONDON, Aug 13 - Following are highlights of Wednesday's press conference with Bank of England Governor Mervyn King following the release of the BoE's latest quarterly inflation report:
King says credit growth is high and has been high for a long time. But says there may have been a structural shift in the ratio of household incomes to debt.
King says there has been a slowdown in consumer spending.
King says it is "extremely difficult" to know what is happening with the UK trade data.
King stresses there are real risks on both sides of the MPC's central projections.
He says the MPC will continue to monitor developments in personal debt levels.
He says the BoE's regional agents have picked up signs that business investment may be about to pick up.
King repeats that July rate cut was a "precautionary measure" and says big picture not very different to what it was before.///