Managers: 'Closer cooperation' needed between BoE and govt as monetary policy 'runs out of steam'

Industry reaction following rate cut

As the Bank of England cuts interest rates for the first time since 2009, the investment industry has reacted to this historic decision with many saying the measures taken today will not be enough to boost the economy post-Brexit.

The Bank of England announced a 0.25% cut to interest rates for the first time in seven years, while also boosting its QE programme with a £60bn government bond and £10bn corporate bond buying package. However, market commentators believe the actions taken may not be sufficient without a fiscal response from the government. Industry reaction: Andrew Parry, head of equities at Hermes Investment Management, said: "With monetary policy reaching the limits of its efficacy, fiscal policy has become the great new hope of investors for reinvigorating moribund global growth. The apparent u...