Base rate held for 42nd month
Brian Murphy, head of lending at leading broker Mortgage Advice Bureau, said: “There are a number of economic factors currently in play aimed at boosting growth, and the MPC needs to see what impact they have before making a major decision over the base rate.
“It is still waiting to see what effect the latest round of QE has, and we also have today’s announcement from the Government which details measures to slash unnecessary red tape across the planning system. These factors will take a while to filter through and it will be several months before we can realistically expect to see a change.”
Ben Thompson, managing director of Legal & General Mortgage Club, agreed saying it was “no shock” the rate had been held.
And he added: “However, the plans announced by the government today to commit to the FirstBuy scheme and other initiatives are welcome and a step in the right direction.”