Rate freeze unsurprising says IoD

The Institute of Directors (IoD) said the Monetary Policy Committee's decision to leave interest rates at 4% yesterday was unsurprising, given the current uncertainties about the direction of the economy. The IoD insists the economy is still 'two speed'. It noted the depressed manufacturing sector, weaknesses in other parts of the economy such as advertising and travel but the relative firmness in the retail sector and, especially, the housing market. Car sales have been very firm, consumer debt has soared to new records and the housing market is still lively. The public sector is al...