The Bank of England kept interest rates at 4.75% for a ninth month in a row today.
The no-change decision by the Bank's Monetary Policy Committee (MPC) had been widely expected following further signs of a downturn in high street spending and evidence of continued weakness in the UK manufacturing sector.
UK economists said the worries over household spending would have outweighed any concerns among members at a jump in inflation to 1.9% in March.
Keeping rates at 4.75% meant the Bank has held fire for nine months in a row, with many commentators now expecting the next movement to be down.
Momentum for a rise gathered earlier in the month after inflation jumped from 1.6% to 1.9% in March, but then petered out in the wake of weak economic data. New data shows that the number of retailers reporting falling sales rose to its highest level in almost 13 years over the past 12 months.
The chances of a rate rise were finally snuffed out earlier today when the Office for National Statistics published figures showing manufacturing output fell by 1.6% in March - the worst drop in almost three years.
The MPC delayed its monthly meeting because of the general election but will not have been influenced by the campaign or the subsequent victory by Labour.
