BOE wanted more cuts to stem the tide

Bank of England policy makers considered an even bigger reduction in the benchmark interest rate than the 1.5 percentage-point cut announced on Nov 6 as their forecasts pointed to a deepening recession.

The possible need for a cut to less than 2.5 percent was discussed at the Monetary Policy Committee's meeting, according to minutes published yesterday by the central bank in London. Governor Mervyn King and his colleagues vote 9-0 to lower the rate to 3 percent from 4.5 percent.

The UK's inflation rate had the biggest drop in at least 11 years in October as the economy shrank, data showed on Tuesday.