Investing.com - The Bank of England's monetary policy committee left interest rates on hold at 0.50% at its policy meeting on Thursday.
The decision to keep rates unchanged was in line with market forecasts.
Also as expected, the vote to hold steady was unanimous with all nine members of the Monetary Policy Committee (MPC) voting in favor.
Furthermore, the BoE decided to leave its asset purchase program unchanged as expected at £435 billion ($604.7 billion) as well as to maintain the stock of sterling non-financial investment-grade corporate bond purchases, financed by the issuance of central bank reserves, at £10 billion ($13.9 billion).
Separately, the inflation report revealed that the BoE expects inflation to move much closer to its 2% target. With the last reading at 3.0%, the British central bank expects inflation to drop to 2.28% in one year’s time, 2.16% in an additional year and then to 2.11% on the three-year horizon.
The BoE also lifted their forecast for growth in 2018 to 1.8%, from the previous 1.6%, and to a repeat of a 1.8% expansion in 2019 compared to the prior projection of 1.7%.
Investors will undoubtedly look for further details on the future path of UK monetary policy at BoE governor Mark’s press conference on the inflation report at 8:30AM GMT (12:30GMT).