Interest rates to rise again

mdb99jh

Inflation is at a 10-year high with no sign of coming down

http://news.bbc.co.uk/1/hi/business/6171617.stm

Looks like the BOE is going to have to increase interest rates again.

How high will they go? What impact will this have on the housing market, if any?

Discuss.

AndrewSmith

There is another rate rise of 0.25% expected in February with a further 0.25% rise expected late spring.

It really is all finger in the air stuff though.

nrsql

Think it will be .25%?
I'm thinking it could be more to try and get away with a single rise (might be delayed to justify the bigger jump).

But who knows - a lot can happen in a month or two and a lot of statistics can be fabricated (sorry produced) in that time.

AndrewSmith

nrsql wrote:

Think it will be .25%?
I'm thinking it could be more to try and get away with a single rise (might be delayed to justify the bigger jump).

But who knows - a lot can happen in a month or two and a lot of statistics can be fabricated (sorry produced) in that time.

I'd also heard a whisper recently about a 0.5% rise in March instead of the two smaller ones expected. Dunno really, I still think they will go with the two smaller ones but, as you say, Lies lies and statistics :rotfl:

We can speculate all we like but no-one will really know until the 1st Thursday of the month concerned.

:beer:

Alan_M_2

Can we rename this thread House Price Crash 6 please?

sm9ai

I could quite easily see it being .25 in January or .50 in Feb.

Still my savings should start doing better!

going2die_rich

There is also meant to be one at the back end of next year too. So in all at least 0.5% rise if not 0.75% next year.

I think thats going to be the trend for the next few years of rates going up and up.

Analysts have said about the Feb\March rise for a good few months now.

What they really should have done was put a rise this month and it would have drastically cut back on people overspending at xmas. As last minute shoppers are normally the one's that are worse with their money due to poor planning ahead. Then stick one in January to punish all those that still went ahead and overspent. A hard two months from that would knock on for several months making them more wise to the situation.

It would most likely push a lot of people in mortgage arrears but thats going to have to happen sooner or later anyway with everyone being so overstretched because they felt they had to buy a house.

meanmachine_2

Let's just hope ING don't try to "chase the rate upwards" and instead keep their IR at a "still competitive" 4.75%.

Wouldn't want to confuse customers by moving it in line with the bank base rate. That would never do.

Ian_W

meanmachine wrote:

Let's just hope ING don't try to "chase the rate upwards" and instead keep their IR at a "still competitive" 4.75%.

Wouldn't want to confuse customers by moving it in line with the bank base rate. That would never do.

Next thing you knew customers would have to keep an eye best buy tables!

F_ING I say. :rotfl: :rotfl: :rotfl: :rotfl: :rotfl:

Hereward

Alan_M wrote:

Can we rename this thread House Price Crash 6 please?

Shouldn't that be House Price Crash 7: I though we wanted to rename The 18 Year Cycle as House Price Crash 6.

dealornodeal_3

Alan_M wrote:

Can we rename this thread House Price Crash 6 please?

House Price Crash 6/ What and Next Years Ftse Crash Number ? to keep The Property Market Company!

Should be an I nteresting Year for Our New PM, The One whose caused it all!:mad: