Economists are expecting the Bank of England to cut interest rates by 50 basis points to 0.50% today.
The bank is due to release any announcement on interest rates changes at midday.
Analysts at JP Morgan said, however, there was a chance the bank’s Monetary Policy Committee (MPC) would choose not to shift rates.
“The call for a 50bp cut rests on the idea that, after a month’s reflection and with markets anticipating a 50bp cut, the MPC will decide the concerns on profitability are not enough to outweigh the argument to move,” the broker said.
“If the MPC choose to hold today, our economists would take that as a pretty clear indication that the MPC believes rates have reached the limit of their use and that rates will stay here until they begin to rise.”
