Today's announcement by the Bank of England's Monetary Policy Committee (MPC) to opt against extending quantitative easing will do little to improve the plight of businesses in Birmingham and Solihull.  

Following the MPC's decision to leave interest rates unchanged at 0.5 per cent, Will Rogers, Policy Adviser at Birmingham and Solihull Chamber of Commerce and Industry (BCI), said: "Despite previous efforts to free up liquidity through quantitative easing, cash flow still remains a major concern for the business community. 

"Results from our most recent Quarterly Economic Survey indicate that the business community needs more support from the Government. " 

He added: "The very disappointing recent decline in manufacturing output provides a stark reminder that recovery is not guaranteed."  

The BCI says that although business and consumer confidence has risen over the past three months and there are indications that quantitative easing is having a positive effect, more credit needs to be made available.  

Mr. Rogers added: "The effects of quantitative easing will take time to filter through, so although we are disappointed with today's outcome, we are confident that the programme will be extended come the November meeting"