Overview

Click to expand overview
The Bank of England has raised interest rates for the 14th successive time, lifting its official rate to 5.25%. The quarter percentage point increase was somewhat smaller By a majority of five to four, the bank’s Monetary Policy Committee voted to increase the cost of borrowing on Thursday from 0.25 per cent to 0.5 per cent. The minority Bank Rate is the single most important interest rate in the UK. In the news, it's sometimes called the ‘Bank of England base rate’ or even just ‘the interest rate’. Our Monetary The Bank of England sets Bank Rate. It is also sometimes known simply as ‘the interest rate’. Bank Rate influences the level of all other interest rates in the UK. Bank Rate was almost zero The Bank of England has raised interest rates for a record-breaking 12th successive time, lifting the cost of borrowing to 4.5% and warning that inflation would be The Bank of England is set to impose another interest rate hike on the UK economy today - the 12th consecutive increase in its battle to curb rampant inflation.

UK Bank of England Hikes Interest Rates Again: 0.25% Increase

The Bank of England continues its battle against inflation, announcing its latest decision. The Bank of England has raised interest rates for the 14th successive time, lifting its official rate to 5.25%. This move aims to curb rising prices but will impact borrowers across the UK.

Another Hike: Understanding the Latest Rate Increase

The quarter percentage point increase was somewhat smaller By a majority of five to four, the bank’s Monetary Policy Committee voted to increase the cost of borrowing on Thursday from 0.25 per cent to 0.5 per cent. The minority view highlighted concerns about the impact on economic growth.

What is the Bank Rate and Why Does it Matter?

Bank Rate is the single most important interest rate in the UK. In the news, it's sometimes called the ‘Bank of England base rate’ or even just ‘the interest rate’. Our Monetary The Bank of England sets Bank Rate. It is also sometimes known simply as ‘the interest rate’. Bank Rate influences the level of all other interest rates in the UK. Bank Rate was almost zero, but is now significantly higher after a series of increases. This impacts everything from mortgage rates to savings account interest.

The Context: A Record-Breaking Series of Hikes

The Bank of England has raised interest rates for a record-breaking 12th successive time, lifting the cost of borrowing to 4.5% and warning that inflation would be The Bank of England is set to impose another interest rate hike on the UK economy today - the 12th consecutive increase in its battle to curb rampant inflation. While previous hikes aimed to control inflation, the effectiveness of this latest increase remains to be seen.

Impact on the UK Economy

This latest 0.25% interest rate hike will have a ripple effect throughout the UK economy. Consumers can expect to see higher borrowing costs for mortgages, loans, and credit cards. Businesses may face challenges in securing financing for investment and expansion. The long-term impact on inflation and economic growth is still unfolding.

Top Sources

Related Articles