The Bank of England’s Monetary Policy Committee (MPC), the nine good men that meet each month to decide what monetary policy in the UK should look like, voted to keep interest rates on hold at 0.5%. This is the 80th consecutive month the Bank has kept rates on hold at 0.5%.
The nine men on the committee voted 8-1 to keep them at 5%, a seemingly impressive level of decisiveness by a bunch of economists; as this commentary notes, economists are not known for agreeing with each other.
Today was dubbed “Super Thursday” because as well as releasing the interest rate decision, the Bank also released its Quarterly Inflation Report, a sizeable document where it reveals its stance on inflation – the economic variable it is commissioned by the government to focus on. As of recently, the Bank also publishes the minutes of the MPC meeting on the day of the announcement (i.e. today), something which used to be delayed a number of weeks. This gives some insight into exactly how such a remarkable level of consensus is arrived at month upon month.
So, lots of reading for you to do if you’re yearning for some macro ahead of next term…