6 June 2001, 15:51 UK CBI accepts BoE decision to hold rates but sees scope for further cuts
LONDON (AFX) - The Confederation of British Industry said it
accepted the Bank of England Monetary Policy Committee's decision to
leave interest rates at 5.25 pct, but said it sees scope for further
cuts.
Deputy director-general John Cridland said: "We understand the
decision but a further cut over the summer still looks highly
desirable. It would help cushion the UK against the combined impact of
a weak euro, a slowing global economy and foot-and-mouth disease."
"In the current climate, modestly lower rates should not put the
inflation target at risk," he added.
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