The Bank of England has maintained UK interest rates at a record low 0.5% after its latest meeting.
Members of its Monetary Policy Committee (MPC) voted to keep the key rate at that level for the 27th month in a row.
Economists have put back the likely date for the next rise in rates to November as worries over growth prospects override concerns about inflation, which hit 4.5% in April, the highest level in two and a half years.
UK business leaders have welcomed the bank's stance, warning that a rate hike would throw the economic recovery off course, particularly after GDP figures for the first quarter of 2011 showed tepid growth of 0.5%.
The bank has warned inflation will rise above 5% later this year and remain above the British government's 2% target throughout 2012, before falling back in 2013.
This week's MPC meeting is the first since the departure of 'arch-hawk' Andrew Sentance, who has consistently voted for a rate rise.
