The Bank of England’s Monetary Policy Committee (MPC) has once again voted to keep the Bank Rate at 0.25%.

In its inflation report, the committee said “monetary policy can respond, in either direction, to changes to the economic outlook as they unfold to ensure a sustainable return of inflation to the 2% target.” This has been taken by analysts as a signal that further interest rate cuts in the short-term are now less likely.

Jeremy Duncombe, director of Legal & General Mortgage Club, said the decision would be welcomed by the industry.

He said: “Together with Mark Carney’s recent resolution to stay in office until 2019, this announcement will help to maintain stability in the financial markets as the negotiations to leave the EU get underway.

“However, with the first Autumn Statement from a new Government just three weeks away, there is still the potential for change in the mortgage market in the short term. Brokers should therefore act sooner rather than later to secure the best possible deal for their customers.

“While the base rate is still at an historic low, now is a great time for intermediaries to work with their clients to switch products and potentially save them the equivalent of a pay rise.”