Mortgage borrowers will be pleased to hear that interest rates could be “pinned to the floor” until 2014.
The prediction comes in the latest report by respected economic forecaster, Ernst & Young Item Club, which at the same time acknowledges that high energy prices and the VAT rise due in January will keep inflation above the [...]
Britain’s economy is on the road to recovery, Santander has claimed.
Barry Naisbitt, chief economist at Santander UK, pointed out that economic growth during the fourth quarter of 2009 has been revised from 0.1% to 0.4%.
He added that the economy has continued growing during 2010.
“Some recent indicators, particularly survey indicators of output, are showing a more [...]
The Bank of England’s Monetary Policy Committee has published the minutes of its April rate-setting meeting which reveal that the decision to keep the base rate at its historic low of 0.5% was unanimous.
The minutes state: “All members agreed that the events of the past month had not been significant enough to substantially alter their [...]
The UK’s official rate of inflation rose to 3.4% in March, up from 3% in February and again exceeding the Government’s target of 2%.
The rate, which is based on the Consumer Prices Index (CPI) and therefore excludes housing costs, was on the wrong side of expectations as it nudged towards the 14-month high of 3.5% [...]
The collapse of the remortage market as borrowers coming to the end of fixed-rate deals opt to remain on reversion rates, is prompting lenders to raise their standard variable rates (SRVs).
According to Moneyfacts.co.uk some borrowers on SVRs have benefited from the record low 0.5% base rate but others have not been so lucky.
The financial [...]
Interest rates on personal loans are finally starting to fall.
The average interest rate on the top ten loan deals has fallen to 8.35%, the lowest level since the Bank of England reduced the base rate to 0.5% last March.
When the Bank of England first lowered the base rate, mortgage and current account providers followed suit, [...]