UK interest rates remain unchanged at 0.5%
As widely expected, the Bank of England has kept interest rates unchanged at 0.5% today for the third month in a row.
Prior to April, the Bank embarked on aggressive cuts to bring inflation down and fight off a prolonged recession. Rates currently stand at the lowest level since the Bank was established over 300 years ago.
In addition, no new measures have been announced today with regard to boosting the economy. It was announced last month that the Bank was increasing the quantitative easing plan by £50 billion, taking the total to £125 billion.
In related news, the European Central Bank will announce its decision later today with regard to interest rates for the euro zone – rates are also expected to remain on hold.
Also in related news today, the Halifax has today announced that UK house prices rose by 2.6% in May compared the previous month – the rate of growth since October 2002.