Should the Bank of England cut interest rates with Britain’s economy in bloom?

The UK is expected to come out of recession, but it would be wise not to expect a reduction any time soon

It would come as a shock to most economists if the Bank of England opted to cut interest rates at its policy meeting this week.

Financial markets, which were baying for a cut last May, are these days betting that August or possibly September will be the point at which the Bank starts to lower interest rates from their current level of 5.25%.