BoE urged to increase interest rates to 3.5% by end of 2011

beecher2

http://www.moneysavingexpert.com/news/banking/2010/05/bank-of-england-urged-to-raise-interest-rates?utm_source=forum&utm_medium=sidebar&utm_campaign=box

The OECD says: "Notwithstanding the temporary nature of these price developments, the gradual drift up of some measures of inflation expectations implies a need to increase interest rates earlier than previously thought and no later than the last quarter of 2010."

Something to keep in mind for those on SVRs, though of course 3.5% is still very low.

Henry_P_Chester

beecher2 wrote: »

http://www.moneysavingexpert.com/news/banking/2010/05/bank-of-england-urged-to-raise-interest-rates?utm_source=forum&utm_medium=sidebar&utm_campaign=box
Something to keep in mind for those on SVRs, though of course 3.5% is still very low.

let's hope so!

Although 3.5% would wipe out most people who bought in the last couple years. Add to this the end of the SLS for banks and SVRs will be huge!

Anyone buying a house needs to budget for at least 7% base rate minimum.

payless

To counter that ;
http://www.thefirstpost.co.uk/63757,business,deflation-could-give-uk-a-japan-style-lost-decade-inflation