Bank of England holds interest rates ahead of possible no-deal Brexit

LONDON, The Bank of England has voted to keep interest rates at 0.75 percent, warning that the prospect of Britain leaving the European Union (EU) without a divorce deal would be detrimental to the national economy. “Prolonged Brexit uncertainty will keep interest rates lower for longer periods,” said the bank’s Monetary Policy Committee.

Besides hitting the economy, a no-deal Brexit would also lead to weaker growth, higher inflation and a further drop in the value of the pound, policymakers argued.

Boris Johnson, who took over as prime minister in July, has played hardball with the EU, vowing to take Britain out of the single-currency bloc with no strings attached by October at the latest.

Source: Kuwait News Agency