The Bank of England’s monetary policy committee (MPC) voted unanimously to hold interest rates at 0.5 per cent and keep a lid on its quantitative easing plan, minutes from the January meeting showed today.
All nine members of the committee, which sets the interest rate each month, decided to not to raise the Ã‚Â£200 billion programme of quantitative easing, which is aimed at pumping cash into the financial system for a further month.
The MPC said that the signals were mixed but that the economy appeared to be showing signs of weak growth on the back of the stimulus package and the weakened sterling. Policymakers remained of the belief that inflation would again drop below its 2 per cent target after a short term spike.
source: Times Online