The Bank of England has held interest rates again – don’t expect them to fall quickly

Borrowers will face a tough 12 months, believes James Moore, with those hoping for a swift fall in base rates set to be disappointed

Bank of England governor Andrew Bailey arrives at a press conference to explain the latest decision on rates

For Britain’s battered borrowers, the good news is that the Bank of England’s rate-setting Monetary Policy Committee (MPC) has decided to hold interest rates at 5.25 per cent.

The vote in favour of doing so solidified too, to 6-3 from 5-4. Significantly, the Bank’s in-house MPC members (the committee is made up of both Bank of England staff and external members) once again voted as a bloc, having previously been split during the last vote.

The rate hawks calling for a rise to 5.5 per cent were all external members: Jonathan Haskel, the recently appointed Megan Greene and Catherine Mann, the leading proponent of hard medicine for Britain’s overheated prices.