6
Sep
Base rate remaining at 0.5 per cent 'would be good news for
homeowners'
The Bank of England base rate is likely to remain at 0.5 per cent,
according to one expert, which will come as good news to homeowners
or those looking for a house for sale in the UK.
Chartered financial planner at Informed Choice Martin Bamford said
that when the Monetary Policy Committee (MPC) meets later this week
(September 9th 2010), he thinks it will decide to keep the base
rate at the same level.
"We expect the MPC to maintain the Bank Rate at 0.5 per cent for at
least the rest of this year," he commented.
"It would be a big surprise to see a rate hike now."
Mr Bamford stated that if the base rate increased, this could
"stifle economic recovery" by imposing a higher cost of
borrowing.
Last month, the MPC voted on maintaining the base rate at 0.5 per
cent after it was reduced by 0.5 percentage points in March
2009.