Commenting on today’s Monetary Policy Committee (MPC) interest rate decision, David Kern, Chief Economist at the British Chambers of Commerce (BCC) said:

“The MPC has made the right decision to keep interest rates and quantitative easing on hold. Any immediate interest rate rise would be unjustified, particularly given the eurozone has been struck by deflation and is experiencing low growth. Against this uncertain background, the MPC must make every effort to counter any threats of a slowdown.

“While many British businesses are eager to invest and export, as confirmed by our Quarterly Economic Survey, the recovery is still facing several challenges. Reassuring firms that they can expect a prolonged period of low interest rates will boost confidence and promote investment.”