The Bank of England will this week pump at least £50bn into the economy, according to a report in the Independent.
It follows a 0.2% contraction for the British economy in the final three months of 2011.
The Bank has already bought £275bn in gilts since its policy of quantitative easing began in March 2009.
Now City analysts believe Threadneedle Street will further prop up the recovery with an extra £50bn in QE.
Lloyds Bank corporate markets analyst, David Page, said: “Our central call is that the pace of improvement will slacken, and concerns about credit provision will see the MPC provide stimulus well beyond current levels.”
