BoE will decide new interest rate tomorrow. Any thoughts??

f_@_w_y

Dear All,

I was just curious.... BoE will decide about the BASIC INTEREST RATE tomorrow.... Any ideas? Will it go down further?? or will it remain the same.

Another question.... if that rate go down to 0%, is it good idea to put money in UK banks.... I mean, are we just putting money for the sake of security??

Fawy

Lokolo

They will keep it the same I reckon.

If the base rate goes down doens't mean all banks are going to put interest rates ar 0%...

ad44downey

f_@_w_y wrote: »

Dear All,

I was just curious.... BoE will decide about the BASIC INTEREST RATE tomorrow.... Any ideas? Will it go down further??

Yes, if not this month then next month. We'll have raging inflation in years to come thanks to the BoE

Reaper

Since there is already an outflow of funds from savings accounts the sensible thing to do is not put it down any further. However it wouldn't surprise me if they knocked off another 0.5%, counter-productive though it would be.

gozomark

Reaper wrote: »

Since there is already an outflow of funds from savings accounts the sensible thing to do is not put it down any further. However it wouldn't surprise me if they knocked off another 0.5%, counter-productive though it would be.

if the money is being withdrawn, its being either invested or spent, both good for the economy right now - the concern is people not withdrawing their savings quickly enough

Masomnia

I think they'll knock off 0.5% as well. Taking it down to 0% will be too big a psychological step, whilst leaving it unchanged is inaction, and I don't think they'll be wanting to do nothing.

Robert_Sterling_3

I might be wrong but .....

..... The past is not a guide to the future .....

Rates can go up as well as down.........................:j

JoeCrystal

@Robert_Sterling It would be rather cool if the rate goes up tomorrow.

Robert_Sterling_3

I like your signature Masomnia.
Being like that does not stop many people from posting.

Lokolo

Robert_Sterling wrote: »

I like your signature Masomnia.
Being like that does not stop many people from posting.

Was that aiming at anyone in particular? :rolleyes:

Reaper

gozomark wrote: »

if the money is being withdrawn, its being either invested or spent, both good for the economy right now - the concern is people not withdrawing their savings quickly enough

Yes, it is what the government wants, but if taken too far it increases the chances of more banks failing. I think it's enough for now.