The Bank of England kept interest rates at 4.5 per cent for the sixth month running today but many analysts reckon slow economic growth will prompt a cut in the next few months.
Analysts had predicted no change at this month's Monetary Policy Committee meeting but they remain divided over when and what the next move in monetary policy will be.
Many say the latest consumer and housing market revival is illusory.
Rising unemployment and soaring utility bills will put a brake on the economy and prompt the central bank to repeat its quarter-point August interest rate cut within months, they say.
Others argue the economy is growing at a healthy clip - one think thank reported expansion of 0.8 per cent in the three months to January - and that rising inflationary pressures mean the BoE's next move will be to raise interest rates.
For now policymakers and commentators alike will be watching the data and attention will turn to the BoE's next set of quarterly forecasts next week to judge which direction policy is headed.