Bank set to hold fire on more money-printing
Sunday 04 November 2012
The City expects the Bank of England to shelve plans to pump billions more into the recovery this week, in the wake of the strongest quarter in five years for the British economy.
The Monetary Policy Committee is set to hold fire on expanding its £375bn quantitative-easing programme amid growing doubts among members, such as the Bank's deputy governor, Paul Tucker, over its effectiveness.
It is also holding on for more evidence over the impact of its £80bn Funding for Lending Scheme. A poll of City economists expects no change in policy on Thursday by a majority of two to one, with interest rates also expected to be held at their 0.5 per cent record low.
The surprise 1 per cent growth for the economy in the third quarter, albeit boosted by one-offs such as the Olympics, could also stay the committee's hand, amid tentative signs of revival in consumer and mortgage lending during September.
The FLS, which allows banks and building societies to access cheap funds in return for growing their lending to the economy, now has 30 banks and building societies signed up.
- 1 Enrique Iglesias injured trying to catch a drone mid concert
- 2 Caitlyn Jenner, formerly Bruce Jenner, reveals new look on Annie Leibovitz shot Vanity Fair cover
- 4 Man on naked bike ride gets ejected after becoming aroused
Migrants in Kos: Photos show real tragedy after Brits abroad complain of 'awkward' holidays
British tourists complain that impoverished boat migrants are making holidays 'awkward' in Kos
Michael Gove determined to scrap the Human Rights Act – even if Scotland retains it
Thousands of teenage girls enduring debilitating illnesses after routine school cancer vaccination
Threat to scrap Human Rights Act could see UK follow Nazi example, warns UN official
Why this year's general election was the most unfair in Britain's history
iJobs Money & Business
£23000 - £25000 per annum: Recruitment Genius: They win lots of awards for the...
£13500 - £20000 per annum: Recruitment Genius: This nationwide enforcement com...
£25 - £30K: Guru Careers: We are seeking a highly-motivated and ambitious Comm...
£30 - 35k: Guru Careers: We are seeking a Pricing Analyst to join a leading e-...