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Interest rates held again

The Bank of England’s Monetary Policy Committee has held interest rates at 4.5 per cent for the fifth month running.
SmartNewHomes.com managing director David Bexon says unless interest rates are cut in the early part of 2006 the market will return to inactivity and stagnation.
Bexon says: “Mixed reports of consumer spending levels over Christmas and into the New Year have done little to bolster confidence in the country’s economy and many homebuyers will be awaiting further reassurance before committing to a move. It is widely accepted that a cut in the base rate will be unavoidable before too long and it certainly would not be out of the interests of the wider economy were that cut to come sooner rather than later.”

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