The Bank of England’s Monetary Policy Committee today voted to maintain the official Bank Rate paid on commercial bank reserves at 5.5%.
The previous change in Bank Rate was an increase of 0.25 percentage points to 5.5% on 10 May 2007.
Our view
This was expected by us, but many were predicting another rise. We expect another rise perhaps before summer’s end and then we anticipate stable interest rates for some time and then a fall towards the back end of the year.