The medicine of low interest rates

%VIRTUAL-SkimlinksPromo%A policy of ultra-low interest rates is the medicine that has helped the UK recover from recession. But while officials here are preparing to wean the economy off the drug, Europe is preparing to swallow an even stronger dose.

Britain's base rate has been stuck at 0.5% for more than five years. Though helpful for borrowers, it has caused years of pain for savers and, some fear, poses a risk of higher inflation down the track.