Bank leaves interest rates at record low

THE Bank of England has held interest rates at record lows as policymakers weighed up the impact of a eurozone bail-out and a hung Parliament.

The Bank's Monetary Policy Committee (MPC) voted to hold rates at 0.5 per cent and left its 200bn programme to boost the money supply unchanged.

The widely-expected decision came as European leaders agreed to prop up the euro and prevent Greece's sovereign debt crisis from spreading – while talks continued after the election.

Despite worries over inflation, the current political and economic uncertainty will have reinforced the MPC's "no change" stance with the UK making a fragile recovery.