Interest rates in the United Kingdom are still at it the record low 0.5 percent according to the Bank of England’s Monetary Policy Committee.
The 0.5 percent interest rate has been kept since March 2009.
There was no announcement of any increase in the interest rate anytime soon even when the Bank has plans of having quantitative easing. Last October 2011, the Bank said that it will inject an additional £75 billion into the country’s economy.
According to the Office for National Statistics, there was a sharp increase in the output from the industrial and manufacturing sector in November 2011.
There was also no change in the interest rates inthe eurozone as it remains at 1 percent, according to the European Central Bank.
The country’s economic growth was characterized as stagnant during the last quarter of 2011, according to the figures that have been released by the National Institute of Economic and Social Research. Growth was only at 0.1 percent, barely enough to be away from any hint of recession at the moment.
There will be a lot more attention given to the Bank’s plans of another round of quantitative easing that will boost the funds to buy up government debt as well as other investments that may be beneficial to the country’s economy.
The Bank has said that the £75 billion quantitative easing programme may commence in February 2012. However, there are some analysts who point out that there may be an additional £50 billion or more worth of quantitative easing again after the previous programme is finished.
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