The National Franchised Dealers Association has welcomed the Bank of England’s decision to hold interest rates at 0.5%.

NFDA director Sue Robincon said that the record low 0.5% rate – which has been in place since March 2009 – had been “one of the driving forces” behind the success of the automotive sector in recent years and welcomed the move announced this morning.

The Monetary Policy Committee voted 8-1 to leave rates unchanged, however this does not rule out further economic measures at a later stage if the Bank of England determines the economy requires stimulation to ride out any impact that Brexit might have.

The Committee next meets in three weeks’ time and may then have enough post Brexit data to impose the interest rate cut which many industry analysts had predicted in light of a weakened pound and falling property demand.

But, for now, Robinson welcomed the continuity offered by the Bank. She said: “It is positive to see that the Bank of England has decided to hold interest rates at 0.5% as a sign of confidence in the post-Brexit UK economy.

“Low interest rates have been one of the driving forces behind the automotive industry success over the past few years as they have been supporting consumers’ confidence to commit to big purchases, such as cars, ensuring affordable vehicle finance offers for drivers.

“We are pleased to see that with this decision members of the committee expect the economy to regain stability after the Brexit vote turmoil.

“However, we urge the Bank of England and the UK government to keep monitoring closely the economic outlook and continue to do all they can to ensure financial stability.”