The Bank of England’s Monetary Policy Committee (MPC) has decided to keep the UK’s interest rate at 0.5% for April.

The move was widely expected as the Bank has almost run out of room in cutting interest rates after six cuts since October last year, when interest rates then stood at 5%.

David Kern, Chief Economist at the British Chambers of Commerce (BCC), said: “The financial markets have anticipated today’s MPC decision to keep the official interest rate unchanged at 0.50 per cent. With the rate now close to zero, further cuts are unlikely to produce benefits.”

If that is the case, then homeowners may be now at the level where their mortgages will not get any cheaper, however, the path out of the recession may prove to have a few more twists yet.