“The news is hardly surprising because the MPC has nowhere else to go, interest rates are as low as they can be without dropping to near zero, which could have detrimental consequences on confidence and lending.

“Having said that, it is unlikely that the base rate will creep back up any time soon, as the effects of quantitative easing have yet to be seen in the economy, along with other Government initiatives.

“In the meantime, savings account rates are unlikely to fall much further, and mortgage interest rates could start to stabilise if the Bank decides to hold interest rates steady for a while, which is at least better than the instability created by the constant interest rate cuts of the last six months.”