The UK’s annual rate of consumer price inflation fell below zero for the first time in more than half a century, official figures showed yesterday, though Bank of England governor Mark Carney said the dip was likely to be brief.

Interest rates look set to stay on hold at 0.5% today when the Bank of England announces its first post-election policy decision.

The Bank of England kept interest rates on hold yesterday, as Britain’s economy continued to thrive, although risks remain to the recovery at home and abroad.

Interest rates will be kept on hold today as more signs of economic cheer cast doubt over Bank of England governor Mark Carney’s forward guidance strategy.

Pressure is mounting on Bank of England governor Mark Carney ahead of tomorrow’s interest rates meeting as gathering signs of economic cheer cast doubt over his forward guidance strategy.

Britain’s economy grew faster than expected in the second quarter, benefiting from a broad-based pick-up in activity that looked to have put the country’s burgeoning recovery on a firmer footing.

Bank of England policymakers will decide tomorrow whether to inject billions more pounds of stimulus into the UK economy or to hold off amid tentative signs of a recovery.

Global markets surged yesterday following the announcement that the White House and the US Congress had temporarily resolved the “fiscal cliff” that threatened to plunge the world’s largest economy back into recession.

UK inflation defied forecasts last month to hold at its highest rate since May, reducing the scope for the Bank of England to inject more cash into the struggling economy.

Chancellor George Osborne shocked the City today as he unveiled Canadian Mark Carney as the first non-British citizen to be appointed as governor of the Bank of England.

World business surveys yesterday painted a picture of economic malaise stretching from Beijing to Berlin, adding to concerns that the global economy was slowing down and the eurozone is heading for recession.

Three years of rock-bottom interest rates will pass tomorrow with little sign the Bank of England is set to ease up on its emergency support.

IRISH export performance will suffer in the coming months, if the eurozone debt crisis goes on.

The Irish export market is set to slow down, according to a new report from investment bank Investec, out later today.

Inflation in the UK is expected to hit a three-year high today.

MITCHELSTOWN yesterday ended 101 years of disappointment and frustration when they won the Chartis Irish Junior Cup with a decisive 4-1 victory over Lurgan at Castlerock.

The impact of the riots on the retail sector will be laid bare today as official figures are forecast to reveal a drop in sales volumes in August.

EU leaders were accused of just buying time and not resolving the Greek debt problem, amid warnings that their agreement reached in Brussels last night will keep the spotlight on the euro and on weaker countries like Ireland.

THE Bank of England kept interest rates at a record low yesterday, reluctant to jeopardise a fragile economic recovery and hopeful the recent surge in inflation will prove temporary.

Bank of England policymakers are expected to shrug off inflation jitters and keep interest rates at an historic low today.

The City today priced in an interest rate rise in May with potentially two more hikes to come later in the year.

City heavyweights AstraZeneca and BSkyB will kick off the blue-chip results season in the UK this week, but the major focus will be on figures detailing the performance of the UK economy in the final three months of 2010.

The final word on the impact the coldest December in 100 years had on the UK retail sector will be offered today as official sales figures are released.

BRITISH export growth helped the economy extend its recovery in the third quarter as growth in consumer, government and investment spending slowed by more than half.

Irish borrowing costs eased back today following assurances from key figures in the European Union that investors would be repaid if Ireland tapped into a rescue fund.

The Bank of England today chose not to follow US counterparts into another round of emergency measures to prop up the economic recovery.

The US Federal Reserve is expected to unveil plans today to inject billions of dollars into the country’s economy to jump-start its sluggish recovery.

The UK's gold-plated triple A credit rating is not at immediate risk as the British government steps up its drive to rebuild the shattered public finances, a leading agency said today.

Experts’ opinions

A clearer picture on consumer spending may emerge this week as firms including Diageo are among those due to issue updates.

THE Conservatives pledged yesterday to cut spending by £23 billion (€25bn) by 2015 by freezing public sector pay, trimming benefits and finding efficiencies if elected next year.

Markets will be hoping for signs of a united front on measures to rescue the global economy and fight the threat of protectionism at the G20 summit.

The Bank of England is widely expected to cut interest rates by at least another 0.5% this week as it tries to stave off a deep recession in the UK.

A busy week for UK blue-chip results sees figures from Vodafone, BT and Sainsbury’s, while the Bank of England’s latest economic forecasts are likely to make grim reading.

Presidential victor Barack Obama will inherit a “poisoned chalice” on taking office next year as the US slides into recession, experts warned today.

The Bank of England is widely expected to cut interest rates this week amid fears that the UK economy is heading towards a recession.

The leading shares on the London Stock Exchange sank into the red today as investors took scant comfort from President Bush’s pledge to “rise to the occasion” with a banking rescue.

Central banks around the world today made their latest attempt to ease the crisis gripping banks with a US$180bn (€124bn) cash injection.

The Bank of England is expected to frustrate households this week by leaving interest rates unchanged at 5% for another month.

Policymakers in England are set to deliver their third interest rate cut in five months tomorrow to help borrowers under increasing pressure from the credit squeeze.

Households in the UK caught in the fall-out from the global credit crunch were today told to expect a Bank of England rate cut later this week.

The Bank of England is widely expected to cut interest rates this week amid growing signs of a downturn in the UK economy.

The US Federal Reserve’s surprise interest rate cut may not be enough to prevent the world’s largest economy from falling into recession, experts warned today.

Consumers in the UK believe the cost of living has continued to soar despite recent measures to bring the economy under control, a survey revealed today.