UK interest rates lowered to 0.5%, £75bn quantitative easing begins

[edesignuk]

The Bank of England has cut interest rates to 0.5% - a fresh all-time low - and said it was now boosting the money supply to help revive the economy.

Interest rates have now been reduced six times since October, and the latest half a percentage point cut from January's 1% had been expected.

The Bank said it would expand the amount of money in the system by £75bn in an attempt to boost bank lending.

This policy, so far untried in the UK, is called quantitative easing.

BBC.

 

[iGav]

Utterly pointless.

 

[edesignuk]

Utterly pointless.

Say it ain't go!