The Bank of England’s Monetary Policy Committee (MPC) has announced that it is holding the base rate again.
In its monthly meeting, the nine-member body revealed that the figure is to stay at 0.5 per cent, with quantitative easing – which it said has two months left to run – staying at £200 billion.
This was the eighth month in a row that the base rate remained the same and those keen on taking out
According to chancellor Alistair Darling – speaking yesterday in his Pre-Budget Report – the CPI level will reach three per cent next year before falling back.
Ray Boulger, a spokesman for
He added: “As long as the CPI is expected by the MPC to fall back to well below the two per cent target … there will be little pressure on the MPC to increase [the] Bank rate.”