8-1 decision held rates at 5% in May
The Bank of England's monetary policy committee (MPC) agreed to hold the interest rate at five per cent following an eight to one vote by its members, it has emerged.
Only renowned dove David Blanchflower nominated a 0.25 per cent reduction in the base earlier this month, the publication of the minutes of the MPC May meeting has revealed.
A fall in the interest rate could have been good news for some mortgage holders, as their monthly repayments may have been reduced; however the MPC declared that inflation fears had prompted them to opt for a hold this month.
The June MPC meeting could be more likely to bring a base rate cut, as the committee has reduced the rate on alternate months since December last year.
However, MPC member and deputy governor of the Bank of England Rachel Lomax recently announced that she will soon be leaving her position.
You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.