MPC holds rates at 5%

The announcement comes as little surprise with the risks to inflation deemed too grave to merit a cut. With mortgage costs continuing to rise, the news is likely to be badly received by homeowners across the country, painting a bleak future for the month ahead and possibly beyond. Analysts had widely expected rates to remain on hold as the MPC has continually expressed concerns about inflation, which could reach 4% this year. Consumers are now facing the dual pressures of higher food and fuel costs, as well as higher borrowing costs, and some market commentators have urged the MPC to act...