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News - 9 April 2009
Bank of England

Interest rates on hold

As widely expected, the Bank of England has kept interest rates on hold at just half of one percent as options for further cuts fade.

With rates already so low, the Bank has little room for manoeuvre and has been forced to look at other policies to boost the economy. Quantitative easing, or creating money to buy assets such as government and corporate bonds to increase the supply of money in the economy and help boost lending, has so far injected £26.4bn into the financial system.

Read related items on:
Interest Rate
Recession
Bank of England

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