MPC voted 8-1 to hold rates at 5%

Minutes from the MPC’s latest meeting show only David Blanchflower opposed the move, instead voting for a 0.5% cut. Blanchflower has consistently advocated rate cuts to help borrowers and boost the economy, but other members of the MPC have highlighted spiralling inflation as their main concern. In August, seven members of the MPC voted to hold rates, while one voted to raise rates and Blanchflower voted for a cut. The bank says its expectations, which predict inflation will rise to 5% in 2008 before falling back to its 2% target, mean rate hikes are unnecessary. In the US, the Fede...