NO 2012 GROWTH: The Bank of England's quarterly Inflation Report predicts that the U.K. economy will not grow overall in 2012 in spite of staging a return to growth in the second half of the year.

REVISED DOWN: Three months ago, the Bank had forecast growth of 0.8 percent for the year. Those hopes evaporated as the U.K.'s economic output fell in the first six months of the year.

MORE STIMULUS? The downbeat forecast supported expectations that the Bank may extend its program of asset purchases, or quantitative easing, beyond the current limit set to expire in November.