MPC vote 7-2 to keep rates at 0.50pc

Ian McCafferty and Martin Weale preferring to raise the base rate, while Governor Mark Carney, Ben Broadbent, Jon Cunliffe, Nemat Shafik, Kristin Forbes, Andrew Haldane and David Miles voted to keep them held.

It was concluded in the minutes that the base rate was appropriate to meet the Bank’s inflation target of 2%.

CPI inflation fell by 0.5% from August to 1.2% in September.

The MPC attributed this to low wage growth, falling unit labour costs, falling import prices driven by lower commodity prices and weak global inflation.

It was ruled that a premature tightening in monetary policy could leave the economy vulnerable to shocks, while the scope for stimulus would be limited by the base rate.