Bank of England holds rates at 0.5%

by Richard Kilner

Story link: Bank of England holds rates at 0.5%

The Monetary Policy Committee (MPC) of the Bank of England has today announced it has elected to keep the British interest rate at the all-time low of 0.5%.

The retention of rates at their record level was widely expected.

The MPC is also continuing with the Bank’s quantitative easing asset purchase programme, worth £200bn, effectively printing money.

The Bank of England has stated that it expects the quantitative easing programme to continue for another two months, but has said it is keeping the scale of the scheme (already expanded twice) under review.

Last month the scheme was increased by £25bn, and was originally due to run its course in August of this year.