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04/03/2004
Bank of England hold interest rates at 4%
The Bank of England's Monetary Policy Committee (MPC) has today voted to hold interest rates at 4%.
The Confederation of British Industry (CBI) welcomed the move and the bank's "gradualist approach" managing rates rises.
CBI Chief Economic Adviser, Ian McCafferty, said that a second successive rise would have "surprised" businesses and financial markets, leading to an "undermining [of] business confidence".
He added: "With manufacturing joining the recovery in the service sector and consumer spending particularly resilient, we accept that rates will rise further in coming months. But this decision thankfully recognises the need for a steady hand, especially at a time when sterling's strength against the dollar is beginning to worry exporters."
Trevor Williams, chief economist, Lloyds TSB Financial Markets, said that, despite the public’s appetite for borrowing and retailers "enjoying particularly lucrative fortunes" as a result, the MPC was "clearly biding its time so that the full impact of last month’s interest rate rise can be assessed".
He added: "However, with growth clearly above trend and house prices seemingly on the rise once again, it’s highly likely that the MPC will need to consider raising rates once more during the coming months.
"But wage and price inflation remain low, meaning rate hikes can be gradual, around a quarter of per cent – and it’s worth bearing in mind that the MPC has never elected for an increase of more than a quarter of a per cent in a single stroke since its formation back in 1997."
The most recent change in interest rates was an increase of 0.25 percentage points to 4% on 5 February 2004.
(gmcg)
The Confederation of British Industry (CBI) welcomed the move and the bank's "gradualist approach" managing rates rises.
CBI Chief Economic Adviser, Ian McCafferty, said that a second successive rise would have "surprised" businesses and financial markets, leading to an "undermining [of] business confidence".
He added: "With manufacturing joining the recovery in the service sector and consumer spending particularly resilient, we accept that rates will rise further in coming months. But this decision thankfully recognises the need for a steady hand, especially at a time when sterling's strength against the dollar is beginning to worry exporters."
Trevor Williams, chief economist, Lloyds TSB Financial Markets, said that, despite the public’s appetite for borrowing and retailers "enjoying particularly lucrative fortunes" as a result, the MPC was "clearly biding its time so that the full impact of last month’s interest rate rise can be assessed".
He added: "However, with growth clearly above trend and house prices seemingly on the rise once again, it’s highly likely that the MPC will need to consider raising rates once more during the coming months.
"But wage and price inflation remain low, meaning rate hikes can be gradual, around a quarter of per cent – and it’s worth bearing in mind that the MPC has never elected for an increase of more than a quarter of a per cent in a single stroke since its formation back in 1997."
The most recent change in interest rates was an increase of 0.25 percentage points to 4% on 5 February 2004.
(gmcg)
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09 June 2005
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Interest rates remain at 4.75%
The Monetary Policy Committee for the Bank of England has left UK interest rates unchanged for the tenth month in a row. The decision to keep the interest rate at running, at 4.75% follows further uncertainty in the economy. Figures published today revealed that while there was slight monthly increase, 0.
16 January 2007
Cooling house prices after interest rate hikes
The latest figures on house price rises show that the market has cooled following the November interest rate rise.
Cooling house prices after interest rate hikes
The latest figures on house price rises show that the market has cooled following the November interest rate rise.
05 August 2004
Interest rates rise to 4.75%
Interest rates are to rise by a quarter percentage point to 4.75%, the Bank of England has announced today. The last time the interest rates rose was June, when the MPC upped the rate by 0.25 percentage points to 4.5%. The Bank's Monetary Policy Committee (MPC) said that today's move was necessary to keep inflation on track.
Interest rates rise to 4.75%
Interest rates are to rise by a quarter percentage point to 4.75%, the Bank of England has announced today. The last time the interest rates rose was June, when the MPC upped the rate by 0.25 percentage points to 4.5%. The Bank's Monetary Policy Committee (MPC) said that today's move was necessary to keep inflation on track.
08 September 2005
Interest rates remain on hold at 4.5%
The Bank of England has left interest rates unchanged at 4.5%, as expected by many analysts. Last month, the Bank’s Monetary Policy Committee (MPC) reduced interest rates from 4.75% to 4.5%, amid fears of a slowdown in economic growth and a slump in consumer spending.
Interest rates remain on hold at 4.5%
The Bank of England has left interest rates unchanged at 4.5%, as expected by many analysts. Last month, the Bank’s Monetary Policy Committee (MPC) reduced interest rates from 4.75% to 4.5%, amid fears of a slowdown in economic growth and a slump in consumer spending.
08 May 2003
Bank of England holds interest rates at 3.75%
The Monetary Policy Committee of the Bank of England has announced its decision to keep interest rates in the UK at 3.75%. The decision by the MPC to hold rates comes in spite of concerns about the increasingly weakened state of the UK economy, particularly the in manufacturing sector.
Bank of England holds interest rates at 3.75%
The Monetary Policy Committee of the Bank of England has announced its decision to keep interest rates in the UK at 3.75%. The decision by the MPC to hold rates comes in spite of concerns about the increasingly weakened state of the UK economy, particularly the in manufacturing sector.
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