The Bank of England did not follow the footsteps of the European Central Bank and kept their rate of interest at the all time low of 0.5%. The economist feared that they will also increase the rate of interest. On Thursday the authorities at the Bank of England confirmed that the rate of interest will not be increased.

The inflation in Britain has been confirmed to be twice as high when compared with the euro zone. The inflation in Britain was recorded at 4.4% in February.

The policy makers of the Bank of England believe that the economy of the country is still recovering from the damages caused by the recession and inflation. They feel that is not at all feasible to increase the rate of interest at this time the recovery will not be possible.

The policy makers’ do not want Britain to face the debt crisis like Greece, Ireland and Portugal. During the polls for the increment in the rate of interest three out of the total nine policy makers agreed that the interest rate should be increased.

The authorities at the Bank of England believe that the policy makers have made the correct decision. They have confirmed that the economy of Britain would have definitely been affected by the increment.