Business leaders have called for a fresh stimulus as they braced
themselves for interest rate rises in the New Year.
They welcomed the Bank of England's decision to keep interest
rates at 0.5 per cent but fear the Monetary Policy Committee
will be forced into a rise soon as inflation continues remains
high.
Will Rogers, policy adviser at Birmingham Chamber of Commerce
Group (BCCG), said: "The recovery has slowed and we are looking for
a stimulus to the economy that an increase in money supply through
quantitative easing can bring.
"The government needs to take measures that will grow the
economy. Business will be at the heart of the recovery and
confidence needs to be restored.
"Birmingham Chamber's latest Quarterly Economic Survey
shows that access to finance has improved, but figures are still
relatively low so it is incumbent on the Bank to improve
conditions."
Simon Topman, chairman of the West Midlands Chambers of
Commerce, said: "The Bank of England has now held rates for 19
consecutive months.
"But the climate is expected to get far worse once the public
spending cut
"Businesses need to be given the freedom and confidence to
create jobs and wealth and this will only be achieved if conditions
are improved through economic measures and the reduction of red
tape."