Higher levels of precautionary saving by worried households could cause the effects of the outbreak to lingerThe economy will take longer to recover from the lockdown than initially expected, according to the Bank of England. After their latest meeting policymakers kept interest rates on hold at 0.1 per cent and the stock of asset purchases unchanged at £745 billion. However, they signalled growing pessimism about the speed with which the economy will recover to pre-pandemic levels. In its latest monetary policy report, the bank tempered initial projections of a sharp V-shaped recovery. The economy is expected to be 9.5 per smaller by the

Source: The Times August 06, 2020 11:03 UTC