Bank of England Maintains Interest Rate

The Bank of England voted today to hold the benchmark interest rate at 0.5 percent. The move was widely expected as was the commitment to continue with its £200 billion (US$325 billion) stimulus spending program.

“It was the only realistic thing they could have done. The next big decision will be taken in February with the new inflation report,” said Brian Hilliard, economic at Societe Generale. “But cracks are already appearing in the committee and I don’t think they will expand again.”

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