08/04/2004
Interest rates remain on hold at 4%
Interest rates are to remain on hold at 4%, the Bank of England has announced today.
The Bank of England's Monetary Policy Committee today voted to maintain the Bank's repo rate at 4.0%.
The most recent change in interest rates was an increase of 0.25 percentage points to 4.0% on 5 February 2004.
The British Chambers of Commerce (BCC) said that the decision was "the preferred option for business".
BCC Director General David Frost said: "If growth forecasts are borne out, 2004 will be the UK's first year of above-trend growth since 2000. But this growth is not enjoyed by all sectors: the manufacturing sector suffered a sharp fall in output between January and February. Strong independent survey data has yet to translate into a growth trend for manufacturers, meaning that early rate rises would be a further blow to this hard-pressed sector.
"At 1.3%, annual inflation is well under its target of 2.0%; meanwhile sterling has appreciated by 3% since mid-February, further cooling inflationary pressures. These factors gives the Bank of England plenty of leeway to let growth continue before inflation approaches its ceiling. It is vital to avoid further interest increases until the recovery is more secure."
The move was also welcomed by the Confederation of British Industry (CBI).
CBI Chief Economic Adviser, Ian McCafferty, said that he was pleased the Bank has not rushed into a decision to raise interest rates.
He added: "The manufacturing recovery is fragile, inflation prospects are well under control and the previous two rate rises have not fully fed through.
"If the recovery continues as we hope, business recognises that rates will have to increase over the course of this year. But the Bank's gradualist policy of well-explained and well-signalled rises remains the best way to maintain economic stability.
"The high level of personal debt reinforces the case for a steady approach and business remains concerned that sterling's renewed strength could hold back the recovery."
(gmcg)
The Bank of England's Monetary Policy Committee today voted to maintain the Bank's repo rate at 4.0%.
The most recent change in interest rates was an increase of 0.25 percentage points to 4.0% on 5 February 2004.
The British Chambers of Commerce (BCC) said that the decision was "the preferred option for business".
BCC Director General David Frost said: "If growth forecasts are borne out, 2004 will be the UK's first year of above-trend growth since 2000. But this growth is not enjoyed by all sectors: the manufacturing sector suffered a sharp fall in output between January and February. Strong independent survey data has yet to translate into a growth trend for manufacturers, meaning that early rate rises would be a further blow to this hard-pressed sector.
"At 1.3%, annual inflation is well under its target of 2.0%; meanwhile sterling has appreciated by 3% since mid-February, further cooling inflationary pressures. These factors gives the Bank of England plenty of leeway to let growth continue before inflation approaches its ceiling. It is vital to avoid further interest increases until the recovery is more secure."
The move was also welcomed by the Confederation of British Industry (CBI).
CBI Chief Economic Adviser, Ian McCafferty, said that he was pleased the Bank has not rushed into a decision to raise interest rates.
He added: "The manufacturing recovery is fragile, inflation prospects are well under control and the previous two rate rises have not fully fed through.
"If the recovery continues as we hope, business recognises that rates will have to increase over the course of this year. But the Bank's gradualist policy of well-explained and well-signalled rises remains the best way to maintain economic stability.
"The high level of personal debt reinforces the case for a steady approach and business remains concerned that sterling's renewed strength could hold back the recovery."
(gmcg)
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08 September 2005
Interest rates remain on hold at 4.5%
The Bank of England has left interest rates unchanged at 4.5%, as expected by many analysts. Last month, the Bank’s Monetary Policy Committee (MPC) reduced interest rates from 4.75% to 4.5%, amid fears of a slowdown in economic growth and a slump in consumer spending.
Interest rates remain on hold at 4.5%
The Bank of England has left interest rates unchanged at 4.5%, as expected by many analysts. Last month, the Bank’s Monetary Policy Committee (MPC) reduced interest rates from 4.75% to 4.5%, amid fears of a slowdown in economic growth and a slump in consumer spending.
10 July 2003
Interest rates cut by 0.25%
The Bank of England's Monetary Policy Committee (MPC) has today voted to reduce interest rates by 0.25% - to 3.5%. The MPC says that the "global economic recovery has remained hesitant", but that preconditions for recovery "remain in place".
Interest rates cut by 0.25%
The Bank of England's Monetary Policy Committee (MPC) has today voted to reduce interest rates by 0.25% - to 3.5%. The MPC says that the "global economic recovery has remained hesitant", but that preconditions for recovery "remain in place".
04 March 2010
Interest Rates Held Again
The Bank of England today held interest rates at 0.5%, as widely predicted. Monetary Policy Committee members also voted to maintain the stock of asset purchases financed by the issuance of central bank reserves at £200 billion. The previous change in bank rate was a reduction of 0.5 points to 0.5% on 5 March 2009.
Interest Rates Held Again
The Bank of England today held interest rates at 0.5%, as widely predicted. Monetary Policy Committee members also voted to maintain the stock of asset purchases financed by the issuance of central bank reserves at £200 billion. The previous change in bank rate was a reduction of 0.5 points to 0.5% on 5 March 2009.
09 June 2005
Interest rates remain at 4.75%
The Monetary Policy Committee for the Bank of England has left UK interest rates unchanged for the tenth month in a row. The decision to keep the interest rate at running, at 4.75% follows further uncertainty in the economy. Figures published today revealed that while there was slight monthly increase, 0.
Interest rates remain at 4.75%
The Monetary Policy Committee for the Bank of England has left UK interest rates unchanged for the tenth month in a row. The decision to keep the interest rate at running, at 4.75% follows further uncertainty in the economy. Figures published today revealed that while there was slight monthly increase, 0.
09 April 2009
Bank Holds Interest Rates At 0.5%
The Bank of England (BoE) has announced it will hold interest rates at 0.5%, following six successive months of cuts. The bank's Monetary Policy committee (MPC) last month slashed borrowing costs to the record low, and embarked on a £75 billion quantitative easing plan to help fight the recession.
Bank Holds Interest Rates At 0.5%
The Bank of England (BoE) has announced it will hold interest rates at 0.5%, following six successive months of cuts. The bank's Monetary Policy committee (MPC) last month slashed borrowing costs to the record low, and embarked on a £75 billion quantitative easing plan to help fight the recession.
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Northern Ireland WeatherToday:A sunny but frosty start for many. However cloud increases by midday with a few showers reaching the north coast, these mostly light but spreading inland this afternoon. Chilly. Maximum temperature 8 °C.Tonight:A rather cloudy evening with scattered showers. Becoming drier through the night with some good clear spells developing and a patchy frost away from coasts. Minimum temperature 0 °C.