ECB and MPC hold interest rates

<p>Interest rates have been held by both the ECB and the MPC.</p>

Interest rates will remain the same across Europe and in the UK for another month.

Both the Monetary Policy Committee (MPC) of the Bank of England and the European Central Bank (ECB) confirmed there will be no changes to interest rates during September.

The ECB confirmed that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and deposit facility are to remain unchanged at 0.5 per cent, one per cent and zero per cent respectively.

It was announced by the MPC that interest rates are going to be held at 0.5 per cent – a record low for the UK – for yet another month.

The new governor of the Bank of England Mark Carney has previously stated that the MPC will not consider raising interest rates until unemployment in the UK falls to seven per cent.

Mr Carney – who recently took over the position from Sir Mervyn King – explained a "renewed recovery is taking hold" but it will take time to gather pace.

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