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BUSINESS leaders have told new Bank of England governor Mark Carney they want to see a firm commitment from him to keep interest rates low over the next 18 months.
The bank's Monetary Policy Committee (MPC) met this week for the second time since Canadian Mr Carney took over from Mervyn King.
He has already said rates would remain low and now the Coventry and Warwickshire Chamber of Commerce has called on him for more details of his long term plan.
Rates have been at 0.5 per cent since March 2009 and the Chamber want them to remain so until 2015 unless inflation accelerates.
Chief executive Louise Bennett said: “Low interest rates are key to building the economic recovery and having a degree of certainty over their level for the next 18 months to two years will give businesses confidence.
“It was refreshing to hear Mark Carney talk more about the medium term after last month’s MPC decision and a clear commitment to low rates will help firms.
“The MPC will announce next week whether it will give future guidance and we believe that would help to build some degree of certainty into the economy.”
She added: “We understand the bank must balance that with concerns over inflation but, at this stage, it’s vital that we underpin these early signs of an economic recovery.”
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