tag:blogger.com,1999:blog-9968565.post-1146728870756327142006-05-04T06:44:00.000Z2006-05-04T07:47:50.786ZThe Bank of England is set to freeze interest rates for another month when it announces its decision tomorrow, experts predict. <br /><br />For the last eight months the Bank's interest rate setting Monetary Policy Committee (MPC) has left base rate unchanged at 4.5 per cent, and there are few signs that it will change its ways after Thursday's meeting. <br /><br />Just one of the 120 economists polled by the Reuters, Bloomberg, and AFX news agencies predicted any result other than a hold - with Nationwide saying that there is a 90 per cent chance that interest rates would stay on hold tomorrow. <br /><br />"Latest data has made unchanged interest rates even more of a nailed-on certainty this Thursday. Indeed, it is currently odds-on that the Monetary Policy Committee will sit on its hands for many more months to come," said Howard Archer, chief economist at the Global Insight consultancy. <br /><br />The Bank of England raises and lowers the cost of borrowing in the UK, which affects millions of mortgage-holders and savers, in an attempt to keep inflation at the government's target of two per cent. <br /><br />Since it last trimmed rates in August last year, no more than one member of the nine-strong MPC has voted for rates to change, with economist Stephen Nickell consistently calling for a 0.25 per cent cut. <br /><br />However, this month is Mr Nickell's last as an MPC member after 72 months as part of the Bank's policy unit. <br /><br />And with the lone dissenting voice set to leave, economists believe interest rates are set to stay at their current level of 4.5 per cent for months to come. <br /><br />"Interest rates may stay unchanged through to the second half of 2007," said Global Insight's Mr Archer. <br /><br /><a href="http://www.financechoices.co.uk/mortgages.html">To take advantage of current interest rate stability by switching to a new mortgage, check out Finance Choices' mortgage comparison tables.</a>Bruce Waynehttp://www.blogger.com/profile/05180072217431083459noreply@blogger.com