The Bank of England Monetary Policy Committee meet again on Thursday 13 September 2018.
The increase in the Bank of England base rate in early August 2018 meant the highest base rate since March 2009. With the potential of a ‘no-deal Brexit’ weighing heavy on the UK economy and already taking its toll on household finances, we debated whether the rate increase in August was the right decision.
Since then the UK high street has reported its worst August performance for three years, adding to the doom and gloom. However the less prominent message reported that online sales had risen by 13.7%, which went some way to offsetting the high street drop.
In the property market, stats suggest the slowest year for home sales since 2013, with fewer mortgages approved, down 4.4% on the previous year.
In addition, with the increase in many mortgage variable rates, borrowers are really feeling the pinch.
Our prediction… No change following this meeting seems the sensible choice.