Bank of England policymaker Silvana Tenreyro said the outlook for the economy was improving but the central bank might still need to provide more stimulus during 2021. “Despite lessening downside risks, there also remain a number of scenarios that I would anticipate requiring looser policy later this year,” Tenreyro said in a speech on Friday. She pointed to post-pandemic changes in working habits that could lead to lower demand in some industries and the prospect that many currently furloughed workers will become unemployed. “A key influence on the outlook will be the extension of the furlough scheme until the end of the third quarter, when all UK adults are expected to have been offered a vaccine,” she said. “This has implications for demand, since it lowers the risk of a sharp rise in unemployment when the scheme ends.” The slower roll-out of COVID-19 vaccines in many of Britain’s trading partners could weigh on the economy, she said. Tenreyro’s comments came shortly after her colleague Michael Saunders said Britain’s economy might have more room to bounce back from the pandemic before it generates excess inflation than the BoE predicted last month. (Reporting by Andy Bruce and William Schomberg Writing by William Schmberg)