19 March 2020
Bank of England further reduces Bank Rate to 0.1% and votes to increase government and corporate bond holdings by £200bn
Theme: Broader policy
Sub-theme: Government spending plans and the economy
Introduced by
Bank of England
Targeted at
Businesses and households
Timings
Introduced on 19 March 2020. In place until next decision to change interest rate (maintained on 26 March 2020)
Stated aims
To support businesses and households in response to the economic shock caused by the pandemic
Summary
The Bank of England cuts Bank Rate by 15 basis points to 0.1% and votes to increase government and corporate bond holdings by £200bn. It reduces interest rates to support employment, borrowing, consumption and investment in the economy, and reduce the burden of debt repayments.
Source(s)
Bank of England summary
Bank of England summary – update on 23 March 2020