Thursday, June 5, 2008
Rates on hold
UK interest rates have been left unchanged at 5% following the latest meeting of the Bank of England's Monetary Policy Committee (MPC). The decision to hold rates had been widely expected amid concerns about the pace of inflation. Rising food and fuel prices pushed inflation to 3% in April, well above the government target of 2%. However, a slowing economy and falling house prices had led some to call for a cut in rates to boost spending.