Bank of England is set to keep interest rates on hold
The Bank of England is expected to keep interest rates on hold today after its first policy meeting since official figures showed inflation turned negative.
Ultra-low inflation has pushed back expectations of when the Bank will start to raise rates, which have remained at 0.5% for more than six years, while the latest economic data appear to have killed off any chance of a hike coming soon.
The closely-watched CIPS/Markit purchasing managers' index (PMI) survey signalled a sharp slowdown in growth for the dominant services sector last month, pouring cold water on hopes that the pace of the recovery could bounce back in the second quarter.
Meanwhile, official figures showed CPI inflation fell to minus 0.1% in April.