UK interest rates held at 0.5% - a vote of confidence in the economy

The Bank of England has held the UK's main interest rate at 0.5% despite speculation that it would cut rates. The Monetary Policy Committee voted 8-1 to leave rates unchanged. This was the first chance for the Bank of England’s Monetary Policy Committee to react to the UK’s vote to leave the EU. It’s decision to leave interest rates unchanged this month could be seen as a sort of vote of confidence in the economy, underlining that there is no need for emergency action - even if there is still speculation that the rate will be cut next month. Whatever the exact timing, recent comments from Bank Governor Mark Carney indicate that the next rate move will be down.