WHEN DO YOU SEE UK INTEREST RATES STARTING TO RISE AGAIN?
GEORGE BUCKLEY DEUTSCHE BANK
We have them rising in the second half of 2010. The Bank might have to raise rates quicker, but on balance the amount of rebalancing that households and firms will have to do in the UK will restrict the pace of growth.
IAN MCCAFFERTY CBI
We will need to see some move back to normalisation of monetary policy as the economy recovers. The current rate is clearly what the Bank will want in normal times. There could even be a couple of very small increases towards the end of this year.
HOWARD ARCHER IHS GLOBAL INSIGHT
Recent comments from MPC members reinforce our belief that interest rates will stay at 0.50 per cent for the rest of 2009 and very possibly well into 2010. MPC members also seem to be keeping the door open to further extending the Bank’s QE programme.