Strong Growth to Deter Rates Rise, Say Analysts

Summary


The odds on a cut in interest rates lengthened yesterday after figures showed the UK economy grew at its strongest rate since 2000. The first estimate of GDP in 2004 was put at 3.1%, following an acceleration in the pace of growth in the final three months of the year - up to 0.7% from 0.5% in the previous quarter.

As well as sharper than expected economy growth, minutes from the last meeting of the Bank of England's Monetary Policy Committee (MPC) cooled rate cut hopes.

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Strong Growth to Deter Rates Rise, Say Analysts

While some policymakers discussed the merits of a cut in December, it emerged the idea was no longer in ...

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