Interest rate on hold at 5.25%

The Bank of England, today left rates unchanged at a near six-year high of 5.25%.

This was widely expected, but a majority of analysts predict another hike to 5.5% by end-June following a surprise quarter-point rise last month.

A poll by Reuters shows that house price inflation has peaked amid signs that higher interest rates are already biting and there is a risk of a correction starting this year if borrowing costs climb much higher.