Bank of England decision

BofE has just announced base rates to be cut by 1.5% taking base rates to 3%.

A shock move - more than expected. Most analysts were expecting 0.5% to 1.0%. This moves the Bank ahead of the curve and represents the lowest rates seen for decades.

Clearly, the rapidly worsening signs coming out of the economy have signalled to the MPC the need for a strong dose of medicine.