Base rate put on hold at 4.75%

The decision has been widely expected despite some early morning jitters on the stock market over concerns the MPC could decide to raise the base rate for the second successive month rather than wait until later in the year. But with house price inflation appearing to ease off and consumer confidence in the stability of the economy weakening the Bank appears to be taking a wait and see approach. Last month’s decision by the MPC to raise the base rate was almost unanimous with only one member of the committee preferring to keep the base rate at 4.5%. Mervyn King, the governor of the Ban...