The Bank of England has left its benchmark interest rate on hold at 4.75 per cent.
Although the decision from the Bank’s Monetary Policy Committee (MPC) was expected it will come as a disappointment to borrowers hoping for relief from high interest rates.
Last month, the Bank of England cut interest rates for the second time in 2024 to 4.75 per cent, down from 5 per cent.
Today, the Monetary Policy Committee voted by a majority 6–3 to maintain hold. Three wanted to reduce base rate by 0.25 percentage points, to 4.5 per cent.
The next decision is on 6 February next year.
In response to the Bank of England’s announcement on interest rates, Nathan Emerson, CEO of Propertymark, comments:
“With many national and international factors continuing to shape the global economy, the Bank of England is understandably taking a cautious path until they can be confident that they are able to safely reduce interest rates back. It has been encouraging to see interest rates reduced across recent months, but the base rate can only be reduced if all factors allow.
“High interest rates can of course affect borrowing for many people, especially those stepping onto the housing ladder, but it’s important there is sensible balance to keep the overall economy secure and workable for all.”
