MPC may need more data before it considers cutting interest rates

Bank of England panel meets this month after weak economic figures for November

• UK GDP: economy shrank in run-up to election

Figures published on Monday showed the economy was going backwards in November while the politicians were out canvassing for votes. Activity in the last full month before the general election fell by 0.3% and the annual growth rate slipped to a seven-and-a-half-year low of 0.6%. Manufacturing reported a hefty fall in output and the service sector contracted, too.

Those are the facts that will be mulled over by the nine members of the Bank of England's monetary policy committee when they meet to set interest rates on 30 January. It is perhaps unsurprising, then, that the City thinks the prospects of a cut in borrowing costs have gone up. A week ago the financial markets put the chances of a rate cut at 5%. Now it is 50%.