West Midland business leaders today welcomed the Bank of
England's decision to keep interest rates at a historic low of 0.5
per cent.
Michael Ward, president of Birmingham Chamber of Commerce, said
the move by the Bank's Monetary Policy Committee, and other
government initiatives like the extra £95 million announced
for the Regional Growth Fund, is a welcome step.
He added: "This is particularly the case for businesses based in
the West Midlands, which is hit hardest by unemployment.
"It appears that the Bank of England is listening to the voice
of business but we do recognise that interest rates will have to
rise at some point. The tentative economic recovery will be helped
by today's decision to postpone any rise.
"Businesses have to learn to cope with the government's
deficit-cutting regime, focusing on efficiency savings and moving
away from over-reliance on public sector contracts."