BOE voted 9-0 to keep rates on hold, and 7-2 to keep QE at £325 bln in March

• Little change in balance of growth risks/inflation in February
• Impact of labour market slack on CPI may be less pronounced
• Concerns remain about debt of certain EU states
• Borrowing costs and oil prices may dent consumer confidence
• Bank funding costs remain elevated despite the recent LTRO

Posen and Miles both voted for more QE favouring a £75 bln increase instead of the £50 bln addition in February