The British Retail Consortium (BRC) has welcomed today’s decision by the Bank of England to hold interest rates at 5% but called for a cut as soon as possible.
BRC director general Stephen Robertson said: “No move is the right move for now. With increasing fears of recession, it’s crucial the Bank pushes the economy towards better health rather than over the edge.
“Raising rates would be pointlessly kicking customers and the economy when they are down. As the Governor of the Bank of England acknowledges, almost all the increase in Consumer Price Index inflation this year is due to rising global fuel and food prices.
“UK inflation is not coming from excessive home demand and it will not be affected by keeping interest rates high. When conditions allow, the Bank’s next move should be down.”
