Record low UK interest rate remains in place
Earlier in the week UK property owners welcomed the news that the Bank of England once again agreed to keep the base rate at the record low 0.5 per cent for the 36th consecutive month.
There has been much public speculation on how long the Bank is prepared to keep the rate at such a low level between a wide variety of UK property experts ranging from another couple of months to another two or three years. Current economic conditions have led some analysts to predict a further 0.25 per cent cut.
During the last three years millions of mortgage customers have enjoyed lower home loan payments which have helped to offset increasingly high day to day living costs as prices of food, energy and fuel bills have rocketed. The same cannot be said for saver’s who have been subjected to the same price increases but without the benefit of interest earned on their savings, estimates suggest cash-strapped savers have lost out to the tune of £76billion in interest earned due to the 0.5 per cent rate.