Central Bank gives not touch on the interest rates

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) September 14, 2009 -- London (Ask4Debtconsolidation) 14 September, '09: The Monetary Policy Committee (MPC) of Bank of England once again decides to go on with the interest rates at 0.5 per cent for the consecutive six months now. The recently concluded review meeting of the body also voted to keep the qualitative easing policy spending at a total £175bn, which will take two more months to be finished. A statement from the meeting adds that, "The scale of the programme will be kept under review".

The new decisions were anticipated by economists, who said that MPC could vote to expand its purchase of gilts in November, as a coincidence with the Bank's next Inflation Report. Hetal Mehta, senior economic adviser to the Ernst & Young ITEM Club says, “we do not expect the Bank to make any further moves until November, when the current tranche of QE will have been used and the MPC has the opportunity to assess the situation in more detail."

Even there have been much clear indications in last weeks that the economy is nourishing, the Bank has kept a cautious approach and emphasised many a times that there is no guarantee a recovery will be either strong or sustained.

That notion was also noted when Mervyn King, the Bank's Governor, had backed extending QE to £200bn at the August MPC meeting, but then it was outvoted by colleagues who preferred to raise the ceiling to £175bn.

For additional information on the news that is the subject of this release (or for a sample, copy or demo), contact Webmaster or visit http://www.ask4debtconsolidation.co.uk

debtconsolidation