The Bank of England left interest rates unchanged at 5.5 per cent on Thursday, as fresh evidence emerged that mortgage borrowers are not yet getting the full benefit of December’s quarter-point cut.

UK Daily View: BoE holds

Chris Giles , economics editor, analyses the central bank’s strategy

The Bank’s survey of quoted mortgage rates at the end of December showed rates on most fixed-rate mort­gage products had changed little over the month, despite a lower official rate and a decline in two-year swap rates, which determine lenders’ funding costs.