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WHAT ACTION WILL BE TAKEN BY THE MPC ON RATES AND QE THIS MONTH?

<strong>HOWARD ARCHER IHS GLOBAL INSIGHT</strong><br />We do not expect any major policy changes. Pressure for immediate action has been alleviated by the economy&rsquo;s probable return to growth in the third quarter, evidence suggesting banks will increase lending in the fourth quarter and the fact that QE will last until the November meeting.<br /><strong><br />GEORGE BUCKLEY DEUTSCHE BANK<br /></strong>I&rsquo;m not expecting any action on either front. There&rsquo;s no question of cutting rates any lower than 0.5 per cent or of raising them again, while I don&rsquo;t believe the Bank will extend QE any further even in November, as the policy environment it has created is already very stimulatory.<br /><br /><strong>JEREMY BATSTONE-CARR CHARLES STANLEY<br /></strong>The Bank will probably do nothing &ndash; August&rsquo;s QE expansion is still underway and the economy remains fragile, so it makes sense to keep levers pulled to full steam ahead. But debate behind the scenes will centre on when the Bank will eventually tighten up on its monetary largesse.