UK: Eurozone strains weigh on growth

THE BANK of England (BoE) on yesterday trimmed its forecast for British growth, citing economic strains in the neighbouring eurozone. With the BoE predicting also lower inflation despite long-awaited wages growth, analysts said the bank was unlikely to raise its record-low interest rate of 0.5 percent until late 2015. “A spectre is haunting Europe – the spectre of economic stagnation, with growth disappointing again and confidence falling back,” BoE governor Mark Carney told a press conference after the bank released its latest quarterly forecasts. – Sapa-AFP