Interest Rate Stays Unchanged

The Bank of England brought some respite to beleaguered homebuyers and businesses when it decided not to raise the cost of borrowing.

Members of the Bank’s Monetary Policy Committee left interest rates unchanged at 7.5%.

There was outcry last month when rates were raised by 0.25% to the current level, prompting fears that the mounting cost of borrowing and the strong pound could push the economy into recession (see Interest Rates Rise).