top of page

The Bank of England has raised interest rates from 0.5% to 0.75% after much speculation.

Writer's picture: Mortgage TreeMortgage Tree

Updated: Aug 28, 2018

Expectations of a strengthening economy, solid employment levels, more consumer spending and the potential for wages to rise have all played a part in the decision.



The Bank’s main priority is to keep the rising cost of living – known as inflation – under control.


It uses its key interest rate, known as the Bank rate or base rate, which is the reference point for how much banks and building societies pay savers and charge borrowers in interest.


Generally, a rise in the Bank rate is good for savers and bad for borrowers – but the reality is a bit more nuanced.


The relatively small rise, from 0.5% to 0.75%, will not be particularly painful for the vast majority of householders, although debt charities say that some squeezed families will find this extra burden a real challenge.


Nevertheless, there will be both winners and losers.


The winners could include 45 million savers, some of whom have seen some interest rate improvements after the previous Bank rate rise in November.


Those planning on buying an annuity to finance their retirement are also likely to benefit.


But millions of households with variable or tracker rate mortgages are likely to see their payments increase once again.


Article taken from the BBC News Website on 02/08/2019

Commentaires


Sign Up To Our Newsletter

Stay Connected...

Our Address...

Mortgage Tree

Blake House

18 Blake St

York

YO1 8QG

01904 263012

Mortgage Tree - Mortgage Advisors York - Services & Standards

Mortgage Tree offers a nationwide mortgage broking service from our base near York, North Yorkshire. We specialise in mortgages and insurance. Whether you are a first time buyer or you are a buy to let investor with multiple properties, Mortgage Tree will ensure that you get the most suitable products available.

We are a Whole Of Market broker which means that we will choose the most suitable mortgage for you from the hundreds available on the UK mortgage market. Our network also gets specially discounted deals from lenders which are available to our network.

 

We also provide insurance cover that will give you & your loved ones a blanket of protection that is so vital. We will endeavour to give you the best service that we can at all times.

Jason Gentles t/a Mortgage Tree  (FCA No. 502275) is an appointed representative of Julian Harris Mortgages Ltd (FCA No. 304155), which is authorised and regulated by the Financial Conduct Authority.

The Financial Ombudsman Service (FOS) is an agency for arbitrating on unresolved complaints between regulated firms and their clients. Full details of the FOS can be found on its website at www.financial-ombudsman.org.uk

Think carefully before securing debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it. Please note that some mortgages such as commercial BTLs are not regulated by the FCA.

The guidance and/or advice contained within this website is subject to the UK regulatory regime, and is therefore targeted at consumers based in the UK.

© 2025 Mortgage Tree  |  Web Design by Studio.END

bottom of page