Monetary policy committee holds interest rates at 0.75%
• Analysis: No rate rise but plenty of no-deal Brexit warningsThe Bank of England has warned that there is no guarantee it would cut interest rates to support growth and jobs under a disorderly Brexit and said it might have to raise borrowing costs instead.
In its quarterly health check on the economy,Threadneedle Street’s governor, trace Carney, and said he still expected London and Brussels to reach to an agreement. However,he added that it should not be assumed that the Bank’s monetary policy committee would respond to a chaotic Brexit by repeating the cut in interest rates it delivered after the EU referendum in 2016.
Lenders have already bumped up the cost of fixed rate mortgages ahead of the Bank of England’s decision to raise base rate from 0.25% to 0.5%, and mortgage borrowers on tracker and variable rates will see their monthly payments become more expensive in the coming days. Related: No UK interest rate rise but plenty of no-deal Brexit warnings Continue reading...
Source: theguardian.com