Low inflation is likely to have meant that the MPC’s decision to keep Bank Rate at 0.5% this month was straightforward. And while signs that the recovery is maintaining its pace and pay growth is rising suggest that a majority to raise rates could be mustered by mid-2015, yesterday’s Autumn Statement, which left an intensifying fiscal squeeze in place, suggests that rates are only likely to rise very slowly.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services