BOE slashes interest rates to 3pc

The move has caught most industry commentators by surprise. RLAM's economist Ian Kernohan said the cut represents a move into "unchartered territory". "Small cuts are not appropriate when the economy is slowing so fast and the MPC was right to be bold," he said. Elsewhere, the BSA also welcomed the MPC's decision. Its director-general, Adrian Coles, said: "The outlook for the economy has deteriorated considerably in recent months, activity in the housing market has stalled, and house prices have fallen." "This reduction in the Bank rate will provide some support to the housing mark...