Business leaders call on Bank to free up more money

Business leaders have called on the Bank of England to inject more liquidity into the UK credit markets so as to enable the national economy to bounce back from its current slump.

Following on from the publication of the minutes from the latest meeting of the Bank of England’s monetary policy committee (MPC), which showed that members unanimously voted in favour of freezing levels of quantitative easing (QE), the British Chambers of Commerce (BCC) has argued for a further £25 billion to be released.

Urging the MPC to increase the QE policy, BCC chief economist David Kern warned that the risk of a relapse in economic activity remains serious.

’With bank lending remaining weak and unemployment continuing to rise, there is still an urgent need to reinforce the stimulus,’ he said.

At the same time, the BCC has welcomed plans to invest £1 billion into the electrification of the Great Western Main Line.

According to supporters of the scheme, the investment will boost economic growth in regions outside of London and improve reliability of train services for businesses.ADNFCR-2318-ID-19278414-ADNFCR