The move was widely expected in an attempt to stave off a recession.
Brian Murphy, head of lending at Mortgage Advice Bureau, said: “This latest £50bn injection was widely predicted despite the fact that leading indicators for the UK in January have returned positive findings and inflation has been coming down.
“The UK is directly affected by what happens in the eurozone and with the money supply in the UK still weak some economists have been calling for even more QE if the fallout becomes worse.
“This latest round of QE should reduce borrowing costs, and with rates again held at 0.5% could end up providing a boost to mortgage borrowers.
“If the recent increase in the number of 95% LTV deals starts to be taken up by first-time buyers this should mean a positive outcome for the housing market.”
Peter Hensman, global strategist at Newton Investment Management, said: “With continuing worries about the downside risks to the UK economy caused by the travails of the eurozone and the sluggish growth generated domestically, together with the expected moderation in CPI pressures evident in recent figures, the justification for [QE] action remained.
“With this vast pool of gilts already owned by the Bank, arguably the greater question is what the MPC can do next if they believe further stimulus is required."
Fionnuala Earley, UK consumer economist at RBS, is not sure QE will make a difference. Commenting she said: “The Monetary Policy Committee didn't think freezing rates alone would be enough to keep the economy warm at its February meeting.
“The chilly economic headwinds, from Europe in particular were strong enough to persuade it to stoke up the boiler with £50bn more monetary stimulus. It wasn't a surprise, but the question is, will it be enough?”
Adrian Coles, director-general of the Building Societies Association, said it was predictable. Commenting he said: “With the economy in negative growth territory, an expansion in the quantitative easing programme is a predictable response.
“The additional asset purchases of £50 billion announced today will inject money into the economy, but it remains to be seen whether this will stimulate demand, economic growth, and market confidence.
“Further quantitative easing may help to ease conditions in the mortgage market. However demand is currently subdued particularly as a result of low consumer confidence."
