The decision by the Monetary Policy Committee means the base rate has now been held at the same rate for over three years.

Analysts are not expecting the rate to change for at least another year as the MPC battles with a fragile Eurozone economy and falling inflation.

Inflation currently stands at 3.6 per cent and has been steadily falling since its peak of 5.2 per cent last September.

The Committee has forecast it could fall below two per cent, the Bank of England’s target, by the final quarter of 2012 and then fall further to 1.5 per cent in 2013.

To try and prevent this, the Committee increased the asset purchase programme by £50bn last month, bringing the total figure over the last three years to £325bn.

However, MPC members David Miles and Adam Posen both voted to increase the programme by £75bn so there is the potential more may be added in the future.

It said it expected this latest round of quantitative easing would take a further two months to complete.

Further information on the decision will be given in the minutes of the meeting which will be released on 21 March.