Bank of England votes 8-1 to hold key rate at 0.25%

• March 16, 2017
• realestatelife
• Business & Markets, Real Estate Finance

The Bank of England on Thursday left its key interest rate at a record low 0.25%, meeting widely held expectations. The vote to hold the rate steady was 8-1, with board member Kristen Forbes backing a rate increase. The central bank left unchanged the size of its asset purchase program at £435 billion ($533 billion) and its corporate-bond purchase program at £10 billion. The central bank expects U.K. inflation to rise above 2% in the “next few months,” it said in a statement. Headline inflation hit 1.8% in January, moving closer to the bank’s target of 2%. The pound jumped to $1.2330 from $1.2269 ahead of the decision. Sterling bought $1.2291 late Wednesday in New York.