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MPC maintain interest rates and QE

The Monetary Policy Committee (MPC) of the Bank of England has voted to maintain the base rate of interest at its current record-low of 0.5 per cent.

It also elected to continue with the asset purchase quantitative easing (QE) programme at its present level of £375 billion.

While the scale of QE will be kept under review, it expects the already-announced extent of the scheme to take another three months to complete.

Chief economist of the Engineering Employers Federation Lee Hopley said that another boost to QE was never likely to be on the cards this month, as it was only expanded in June.

"However, concerns about the economy haven't eased up over the past months and there are now question marks over whether we will see a bounce back in the near future," the expert commented.

She added that this could lead to further rounds of monetary loosening later on in the year.ADNFCR-1898-ID-801421631-ADNFCR

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