LONDON, April 27 (Reuters) – Britain’s economy recovered
only modestly at the start of the year, hindered by a sharp drop
in construction and making it likely that the Bank of England
will keep interest rates at record lows for some months.

Gross domestic product expanded by 0.5 percent between
January and March, in line with forecasts, after contracting by
the same amount in the final three months of 2010.

LONDON (Reuters) – Britain’s economy is forecast to show only a feeble rebound in figures due on Wednesday that look set to fuel criticism of government austerity measures and keep Bank of England interest rates on hold at record lows.

The latest Reuters poll shows that analysts expect gross domestic product expanded by just 0.5 percent in the first three months of this year, barely making up for the 0.5 percent quarter-on-quarter drop at the end of last year. Such a figure is seen as giving the Bank of England the final argument to keep rates on hold for several more months.

LONDON (Reuters) – The economy is forecast to show only a feeble rebound in figures due on Wednesday that look set to fuel criticism of government austerity measures and keep Bank of England interest rates on hold at record lows.

The latest Reuters poll shows that analysts expect gross domestic product expanded by just 0.5 percent in the first three months of this year, barely making up for the 0.5 percent quarter-on-quarter drop at the end of last year.

LONDON (Reuters) – Britain’s recovery in the first quarter has been disappointing, Bank of England policymaker Martin Weale said on Thursday, adding that the Bank’s forecasts in May could be crucial to his next vote on interest rates.

Weale has voted for higher rates since January, and has been in a minority of three on the nine-member Monetary Policy Committee for the past three months.

LONDON (Reuters) – The three Bank of England policymakers wanting to raise interest rates are struggling to win over their peers, who appear increasingly worried about Britain’s recovery.

Minutes to the BoE’s April 6-7 meeting showed a 6-3 vote to leave rates at 0.5 percent, with the majority judging that recent data — particularly on household spending — had highlighted downside risks to growth.

LONDON (Reuters) – The three Bank of England policymakers wanting to raise interest rates are struggling to win over their peers, who appear increasingly worried about Britain’s recovery.

Minutes to the Bank’s April 6-7 meeting showed a 6-3 vote to leave rates at 0.5 percent, with the majority judging that recent data — particularly on household spending — had highlighted downside risks to growth.

LONDON (Reuters) – The Bank of England held interest rates at a record-low 0.5 percent on Thursday, opting to wait for clearer signs of recovery before following the European Central Bank in tightening policy.

Although inflation in Britain is almost twice as high as in the euro zone — it hit 4.4 percent in February — Britain’s recovery is more shaky than that of France or Germany and the economy unexpectedly lurched into reverse at the end of 2010.

LONDON, April 7 (Reuters) – The Bank of England held
interest rates at a record-low 0.5 percent on Thursday, opting
to wait for clearer signs of recovery before following the
European Central Bank in tightening policy.

Although inflation in Britain is almost twice as high as in
the euro zone — it hit 4.4 percent in February — Britain’s
recovery is more shaky than that of France or Germany and the
economy unexpectedly lurched into reverse at the end of 2010.

LONDON (Reuters) – The Bank of England looks set to leave interest rates at a record low this Thursday as weak domestic demand makes it reluctant to respond to what it hopes will be a temporary rise in inflation.

Only one of 67 economists polled by Reuters expects the Bank to raise rates this week. The majority reckon headwinds from the government’s fiscal tightening mean UK rates will not rise until May at the earliest, and probably not until August.

LONDON (Reuters) – The Bank of England looks set to leave interest rates at a record low this Thursday as weak domestic demand makes it reluctant to respond to what it hopes will be a temporary rise in inflation.

Only one of 67 economists polled by Reuters expects the BoE to raise rates this week. The majority reckon headwinds from the government’s fiscal tightening mean UK rates will not rise until May at the earliest, and probably not until August.