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Base rate held at 0 1% | Mortgage Introducer

The Bank of England’s (BoE) Monetary Policy Committee (MPC) has held interest rates at 0.1% and predicted that the economy will recover quicker than expected as the UK eases its way out of COVID-19 restrictions.  The BoE has lifted its forecasts and expects annual average GDP growth of around 7.25%, compared to its projection of 5% back in February. It now projects that the economy will be back at pre-COVID levels by the fourth quarter of 2021. Frances Haque, Santander UK chief economist, said: “The MPC’s decision to leave Bank Rate unchanged at 0.1% was expected given the path for lifting restrictions continues on track, along with a fall in infection rates supported by the swift rollout of the COVID-19 vaccination programme.

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