Bank of England injects another £50bn into UK economy

The Bank of England has agreed to extend its quantitative easing (QE) programme by £50bn to give a further boost to the UK economy.

When completed, it will bring the total amount of QE stimulus to £325bn.

The Bank started its QE programme, through which it buys mainly government-issued bonds, freeing up cash for lending, in 2009.

Economics Editor Stephanie Flanders looks at how the latest cash injection will work.

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