NEW Chancellor Philip Hammond has said he is “prepared to take any necessary steps to support the economy and promote confidence” following the Bank of England’s decision to cut interest rates to a record low.
The Bank’s Monetary Policy Committee has agreed a package of measures that include a quarter-point cut in interest rates to 0.25% and the purchase of £70bn of bonds.
Mark Carney, Governor of the Bank of England, said the UK’s economy needed to find a “new equilibrium” as its moves itself out of the European Union.
The Bank has reduced its growth forecast for the UK next year to 0.8% – down from 2.3%, which it was predicting just weeks before the Brexit vote.
