BANK OF ENGLAND LOWERS BASE RATE

After two years of nearly continuous interest rate increases by the Bank of England, followed by an additional year of persistently high rates that have placed considerable strain on many households and businesses, we are witnessing a significant development: rates have finally been cut.

This marks a pivotal moment for the UK economy. Interest rates serve as the Bank’s primary instrument for managing inflation. Elevated rates discourage borrowing and promote saving, resulting in reduced spending within the economy and causing retailers to be more cautious in setting prices.

The decision to lower interest rates is expected to gradually alleviate some of this economic strain. In fact, we are already beginning to see some relief: mortgage providers, anticipating further reductions in Bank of England rates, have started to lower fixed-rate mortgage offerings. As a result, those with base rate tracker mortgages will benefit from an immediate decrease in their costs.

At Mortgage Decisions, we offer access to thousands of mortgage products from over 90 high street lenders. To understand how this extensive range can impact your mortgage options, we invite you to speak with one of our knowledgeable Mortgage & Protection Advisers at 03454 500200.