Details from the BOE statement
Lower pound is likely to push up CPI through the BOE 2% target in the near term
UK likely to see little growth in second half of the year
BOE launching Term Funding Scheme for banks to borrow close to BOE base rate to offset low rates (see below)
"The cut in Bank Rate will lower borrowing costs for households and businesses. However, as interest rates are close to zero, it is likely to be difficult for some banks and building societies to reduce deposit rates much further, which in turn might limit their ability to cut their lending rates. In order to mitigate this, the MPC is launching a Term Funding Scheme (TFS) that will provide funding for banks at interest rates close to Bank Rate. This monetary policy action should help reinforce the transmission of the reduction in Bank Rate to the real economy to ensure that households and firms benefit from the MPC's actions. In addition, the TFS provides participants with a cost effective source of funding to support additional lending to the real economy, providing insurance against the risk that conditions tighten in bank funding markets."
What is notable is that there was nothing from the Treasury in addition to the BOE measures. That doesn't rule out that it's coming but they've missed a big trick not announcing anything alongside the BOE.
Finance minister Hammond has welcomed the the BOE decision and says he stands ready to act alongside the BOE
