MPC divisions set to re-emerge despite unanimous February vote

Monetary Policy Committee members voted unanimously to keep interest rates in hold this month, but potential divisions over the future path of rates have begun to emerge once more.

The minutes of the meeting held on 4-5 February, published today, show the nine committee members all voted to hold interest rates at 0.5% and maintain quantitative easing at £375bn. While the decision was unanimous, the minutes noted two members of the committee felt there could still be a case for an increase in bank rates later this year.  One member, however, saw loosening "as likely as tightening" given the UK's falling headline inflation rate. That follows comments made within the Bank of England's quarterly Inflation Report, published last week, which suggested the Bank is n...