BoE holds rates at 0.5% amid uncertainty

Laura Miller
clock

The Bank of England (BoE) today kept interest rates at a record low of 0.5% as uncertainty remains over who will govern Britain.

The decision, delayed from last week because of the General Election, comes amid a backdrop of economic turmoil in Europe and a hung parliament in the UK. The MPC will also leave its £200bn programme of quantitative easing unchanged. BoE governor Mervyn King has previously intimated rates will remain low for much of this year, as the economic outlook and recovery remain fragile. The economy grew more sluggishly than expected in the first quarter, with GDP expanding by 0.2% compared to the previous three months, the Office for National Statistics said last month. Economists had fore...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets

Five years on from Covid: What's next for markets?

Five years on from Covid: What's next for markets?

It is now five years since the start of the UK’s Covid lockdown. Since then, we have seen considerable market and geopolitical-related change. Here, William Marshall looks back over the past five years and also explores what we might expect from markets...

William Marshall
clock 06 May 2025 • 4 min read
Gilt yields fall after Donald Trump backs down in 'tariff war'

Gilt yields fall after Donald Trump backs down in 'tariff war'

US president pauses most additional tariffs

Jonathan Stapleton
clock 10 April 2025 • 2 min read
Reeves defends yearly Budget to avoid 'constant chopping and changing'

Reeves defends yearly Budget to avoid 'constant chopping and changing'

Treasury Committee scrutinises chancellor on Spring Statement

Isabel Baxter
clock 02 April 2025 • 3 min read