The low interest rate environment adds to the government's fiscal policy, Bank of England (BoE) Governor Mark Carney said on Tuesday in his speech before the Economic Affairs Committee. "Low interest rate environment is putting some pressure on UK bank margins but should be kept in perspective," Carney added.
"Public infrastructure and corporate investment will be necessary to get the UK out of low growth, low interest rate environment," Carney further explained.
The British pound weakened slightly against its major rivals in the last minutes and the GBP/USD pair was last seen trading at 1.2950, where it was still up 0.28% on a daily basis.
Source : Fxstreet