The Bank of England's monetary policy committee has voted to maintain interest rates at their current level of 4.75% for the tenth month in a row.
The decision has once again passed with little in the way of fanfare although some market analysts are beginning to call for a cut in the base rate to 4.5%, to help breath life into the flat retail, manufacturing and mortgage industries.
One of those voices calling for a cut in rates is David Bexon, chief executive of SmartNewHomes.com, who says a decrease in the base rate will increase customer confidence and will be the catalyst to ensure positive growth in house prices ikn 2005.
"The market is still suffering the hangover of the four base rate rises last year and without a downwards adjustment, the housing market is in danger of stagnating further,” he adds.
The Bank of England is believed to be concerned about domestic demand, particularly in the retail sector, while higher than expected levels of unemployment and lower average earnings growth are thought to have helped keep interest rates from rising this month.
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