BoE votes 8-1 to hold base rate
The Bank of England’s Monetary Policy Committee voted 8-1 to hold the base rate at 0.5% for the 81st consecutive month.
Ian McCafferty maintained his position as the lone dissenter, preferring to raise the base rate by 0.25%.
The committee was unanimous in maintaining the quantitative easing programme at £375bn.
The MPC expected 12 month CPI inflation, which was at -0.1% in October, to slightly exceed the Bank’s 2% target in two years’ time.
The BoE said: “All members agree that, given the likely persistence of the headwinds weighing on the economy, when Bank rate does begin to rise, it is expected to do so more gradually and to a lower level than in recent cycles.”