MPC votes to maintain base rate at 0.5%

by Aaron Strutt

Aug 02 2013

The Bank of England Monetary Policy Committee has voted to keep base rate on hold at 0.5% and maintain quantitative easing at £375bn.

At last month's MPC meeting " new governor Mark Carney's first " the MPC voted unanimously to hold both quantitative easing and bank base rate at their current levels. David Kern, the chief economist at the British Chambers of Commerce, welcomed the Bank's announcement: "The MPC made the right decision to hold interest rates and quantitative easing.

Minutes from the recent MPC meeting suggest that QE is unlikely to be increased any time soon and low interest rates will be maintained for a long period, which will provide a stable environment for businesses.

August 2, 2013