|
Tuesday, 02 September 2008 |
By Abbi Rouse
 The Bank of England will be more able to reduce interest rates once the "spike" of inflation has passed, it has been claimed. A spokesperson for the Council of Mortgage Lenders predicted that the Bank's monetary policy committee will not yet be able to reduce interest rates, as inflation is still a cause for concern.
However, once this spike of inflation has been passed, there is the opportunity for the base rate of interest to be reduced, the spokesperson said. Currently, the base rate set by the Bank of England stands at five per cent - and has remained at this level since April, when it fell from 5.25 per cent.
The monetary policy committee of the Bank of England meets to set the base rate once a month, with the decision being announced on the Thursday of the first full week of the month. The outcome of the meeting has an effect on everyone across the country and it may affect the rate of interest paid on forms of borrowing, such as a personal loan or secured loan.
A spokesperson for |
|
Last Updated ( Tuesday, 02 September 2008 )
|
|
Read more...
|
|
Sunday, 31 August 2008 |
By Abbi Rouse
 The effects of the credit crunch are still having an effect on people's personal finances and the country's economy has not yet returned to its normal state, it has been claimed. Economist at the Centre for Economics and Business Research Charles Davies said that both consumers and businesses are being affected by the credit crunch, with growth continuing to slow.
And not only is the credit crunch biting people's finances, continuing inflationary pressures are also having an effect, Mr Davis suggested. Indeed the British Chambers of Commerce recently reported in its Quarterly Economic Survey that there is now a serious risk of recession across the country.
"The situation has still not really completely normalised and what you have seen is the effects of it start to seep through to all different sectors of the economy. Clearly, the financial system is fundamental to the functioning of the market economy and as funds drying up have had an impact on firms, there has also been a very great impact on consumers," said Mr Davis.
He added that this has had an ongoing effect on |
|
Last Updated ( Sunday, 31 August 2008 )
|
|
Read more...
|
|
|
<< Start < Prev 1 2 3 4 5 6 7 8 9 10 Next > End >>
|
| Results 36 - 42 of 74 |
