He said: “It is hard to see how this extra 0.15% drop in base rate will make much of a difference.”

Goodall outlines the £200bn bond-buying programme as the key point in the government’s announcement.

Threadneedle Street has said that it will buy £200bn of UK government and corporate bonds through the quantitative easing bond-buying programme.

As a result, this will create digital money to purchase debt.

However, Goodall said that the programme is essentially printing money again, which is likely to push the cost of borrowing down.

Regardless of the £200bn pledge, Goodall suspects that the Bank of England will need “lot more than £200bn.”

Goodall said: “What will make the biggest difference now are fiscal measures such as grants for businesses and other steps to help to maintain employment levels.”