Bank of England raises interest rates
On 2nd August 2018 the Bank of England announced an increase in the interest rate by a quarter of one percent, from 0.5% to 0.75%. This increases the cost of borrowing to the highest level since March 2009.
This increase in the interest rate will be bad news for around three and a half million residential mortgage holders in the UK. As an example, for a variable mortgage of £150,000 at the interest rate of 0.75%, the increase in the annual cost will be approximately £224.
The rise in the interest rate was expected back in May this year, but the Bank's Monetary Policy Committee decided to postpone it, as the country's economy was at a weaker level, partly because of severe weather conditions and heavy snowfall triggered by the "beast from the east".
Posted on 01.08.2018.
We provide services
Other useful articles
- Spring Statement 26 March 2025 - tax anti-avoidance measures
- Spring Statement 2025: Key Announcements and Economic Outlook
- Home Office immigration and nationality fees: 9 April 2025
- Skilled Worker salary changes – 9 April
- Protection for care workers – 9 April 2025
- Imposition of a visa regime on Trinidad and Tobago – 3pm 12.03.2025
Get specialist advice
Please contact with one of our immigration lawyers by phone +44 (0) 207 907 1460 (London), +971 509 265 140, +971 525 977 456 (Dubai) or complete our enquiry
Contact us