The Bank of England will pump another £25bn into the economy, which remained mired in recession in the third quarter, in what was described as “one last heave” to propel growth.

The pace of cash injections as part of the so-called quantitative easing programme over the next three months will be slowed, however, in line with what the Bank regards as a slightly brighter economic outlook. The extension of the programme will bring its total cost to £200bn.