finance
monthly
Personal Finance. Money. Investing.
Contribute
Newsletter
Corporate

Increased Pressure On Borrowers As BoE Set To Raise Interest Rates To 1.75%

The Bank of England (BoE) has outlined clear plans to forcefully tackle record-high inflation in the UK, with a rare half-percentage point interest rate rise highly likely to be delivered on Thursday.

Posted: 3rd August 2022 by
Finance Monthly
Share this article

The 50 basis points increase to 1.75% will be the largest interest rate in 27 years and will speed up a historic tightening of monetary policy to tackle the highest level of inflation experienced in four decades. 

In June, inflation reached 9.4%, with the BoE predicting it will rise again to 11% before the year ends. 

In a comment, BoE governor Andrew Bailey said, “The Committee will be particularly alert to indications of more persistent inflationary pressures, and will, if necessary, act forcefully in response. Bringing inflation back down to the 2% target sustainably is our job, no ifs or buts.”

The BoE has already raised interest rates on five occasions in the past seven months a record amount that is putting substantial pressure on people who have borrowed funds.

[ymal]

About Finance Monthly

Universal Media logo
Finance Monthly is a comprehensive website tailored for individuals seeking insights into the world of consumer finance and money management. It offers news, commentary, and in-depth analysis on topics crucial to personal financial management and decision-making. Whether you're interested in budgeting, investing, or understanding market trends, Finance Monthly provides valuable information to help you navigate the financial aspects of everyday life.
© 2024 Finance Monthly - All Rights Reserved.
News Illustration

Get our free monthly FM email

Subscribe to Finance Monthly and Get the Latest Finance News, Opinion and Insight Direct to you every month.
chevron-right-circle linkedin facebook pinterest youtube rss twitter instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter instagram