Bank of England will meets Banking executives tomorrow.

Bank of England Officials will meet executives tomorrow as officials struggle to discuss the country’s financial system and the current economic climate.

The British Bankers Association released a statement that senior members of the banking community will have a scheduled meeting with the BOE.

Having failed to bring down money- market rates, financial institutions are being hit by a lack of liquidity and inter bank lending is low, despite the short-term measure of extra emergency cash made available.

The meeting itself will see U.K. regulators investigate whether traders have been seeking to profit by spreading “unfounded rumors” about financial stocks and in essence accentuating the pessimism surrounding the markets for their own gain as the BOE has denied rumours that the meeting was called in order to discuss the banks funding crisis.

The Chancellor of the Exchequer said today that: “we speak very regularly and we meet very regularly, especially at this time we keep in very, very close touch” , whilst economists at Barclays Plc, Lehman Brothers Holdings Inc predicted the Bank of England will lower the benchmark rate to 5 percent, especially since the Bank of England’s nine policy makers voted for a rate cut this month.