The Bank of England Monetary Policy Committee (MPC) is unlikely to change the interest rate today (July 9th), it has been predicted.

Economist at Defaqto Michael Baxter said there are unlikely to be any benefits from cutting the base rate further, adding that "it is going to be a rather boring Bank of England meeting".

He suggested that more quantitative easing is needed to help reinvigorate the economy as it is "way too early" to consider putting the interest rate either up or down.

At its meeting in May, the MPC said: "While the near-term prospects had improved somewhat the balance of risks to inflation further out had not altered materially since then."

MPC members also voted to continue with its programme of asset purchases totalling £125 billion financed by the issuance of central bank reserves.

The base rate has remained unchanged at 0.5 per cent since March, which the Royal Institution of Chartered Surveyors said was starting to pay dividends.

It said that provisions need to be made to facilitate lending where possible in a low interest rate environment.