Bank of England holds interest rates at 0.5%

10 May 2010 12:00  [Source: ICIS news]

LONDON (ICIS news)--UK base interest rates were held at 0.5% by the Bank of England on Monday as widely expected, given an as-yet undecided national election result and continuing financial uncertainty within the EU.

The bank also decided not to pump more money into the UK economy through its quantitative easing programme.

Its primary rate was unchanged for the fourteenth consecutive month.

The monthly announcement had been delayed from the prior week because of the election. The bank's decision was reached also following the agreement struck by Europe’s finance ministers on Sunday on a significant package of support measures for the euro.

The UK, which is not a eurozone member, offered support limited to a maximum of £8bn (€9bn) to the package.

Uncertainty over what eurozone members and other EU states  might do to help support the euro from the potential knock-on effects of the Greek debt crisis had seriously unsettled global financial markets on Thursday and Friday last week, 4 and 5 May.

($1 = €0.78. €1 = £0.86)

Bookmark Paul Hodges’ Chemicals & the Economy blog
To discuss issues facing the chemical industry go to ICIS connect

By: Staff Reporter
+44 20 8652 3214

AddThis Social Bookmark Button

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly

Get access to breaking chemical news as it happens.
ICIS Global Petrochemical Index (IPEX)
ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index