7 March 2008
The base rate of interest has been left unchanged at 5.25% by the Bank of England's monetary policy committee, something that could interest those with loans.
Officials noted that the bank had to balance concerns about rising inflation - thanks to growing food and energy prices - with the prospect of an economic slowdown.
Economic Advisor to the British Chambers of Commerce David Kern claimed that the hold is a mistake and that rates should have been cut now despite the inflation risks.
"The decision is not surprising, but we believe the decision is mistaken, given the worsening international and domestic situation," he claimed.
Chief UK & European Economist at Global Insight Howard Archer added that a trimming of rates is more likely to occur in April, but that this is dependent on economic statistics.
Rates were last cut by the bank in February, when they were lowered from 5.5%. They were also cut in December.
© 2008 Adfero Ltd
Content for the uSwitch.com market news service is provided by a third party, Adfero Ltd. Whilst uSwitch.com makes reasonable efforts to check the reliability of this content, uSwitch.com does not guarantee the accuracy thereof or endorse the views or opinions given by Adfero Ltd, unless expressly stated otherwise.