No changes likely to happen on policy for Bank of England

No changes likely to happen on policy for Bank of EnglandAs Britain struggles to recover from the economic slump, The Bank of England kept its key interest rate at a record low level of 0.50 percent on Thursday.

The BoE mentioned in a statement at the conclusion of a two-day meeting "The Bank of England's Monetary Policy Committee today voted to maintain the official bank rate paid on commercial bank reserves at 0.5 percent,"

In August, BoE said that it will not consider raising the rates until Britain's unemployment rate falls to 7 percent which is not expected to happen until 2016 at the earliest.

Keeping in mind the speedy economic recovery of Britain over other advanced economies, investors however feel that rate of unemployment will fall much faster.

Britain also contrasts with the still-weak economy in the euro zone. Probabilities are that European Central Bank will consider a cut in interest rates when it meets for its monthly policy meeting on Thursday.

BoE policymakers are widely expected to agree on Thursday on a slightly rapid timescale for the fall in unemployment keeping in mind the recent development in strong economic data. In October they agreed that unemployment was falling faster than they had predicted two months earlier.

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