Economics
BOE Maintains QE, Extends Company Aid on Prolonged Crisis
- Pandemic lockdowns set to weigh on economy in first quarter
- Term funding scheme for small and medium-sized firms extended
The Bank of England, left, in London on Dec. 17.
Photographer: Hollie Adams/BloombergThis article is for subscribers only.
The Bank of England kept its monetary stimulus unchanged as it awaits the outcome of trade talks between the U.K. and European Union, while beefing up support for small businesses to get them through a pandemic that’s dragging on for longer than expected.
The nine policy makers, led by Governor Andrew Bailey, voted unanimously to hold their benchmark interest rate at 0.1% and their total asset purchase target at 895 billion pounds ($1.2 trillion), stressing that they can accelerate or slow bond-buying as needed.