Bank of England MPC unanimous on holding interest rates

Bank of England

All nine Bank of England policymakers voted to keep interest rates on hold this month, after two of them dropped calls to raise rates from 0.5%.

Two members of the Bank’s Monetary Policy Committee (MPC), Martin Weale and Ian McCafferty, had been calling for a rate rise since August.

However, January’s MPC minutes showed they felt a rate rise now might cause below-target inflation to persist.

Last month, inflation dropped to 0.5%, its lowest rate in more than 14 years.

The rate is also well below the Bank’s target of 2%.