Bank of England raises UK interest rate to 4%

The increase in the interest rate on loans and borrowing in the Central Bank of England is a decision that needed to be made because many in the private sector have started to earn higher wages.

Many experts say that inflation has already peaked, meaning that a recession will be less dangerous than expected. However, there are those who are convinced of the opposite: the damage to the economy will be much more serious and dangerous.

The increase in the interest rate on loans from 3.5% to 4% will result in mortgage holders paying £3,000 more a year. This change will also affect those who took advantage of once lucrative refinancing programmes.

Among the experts are those who argue that interest rates will peak at 5.25%: many attribute this to the fact that private sector wages have risen by 7.2% at once. Wages rose several months before the increase in the cost of loans: lawyers, accountants, financiers and businessmen were all affected.

The experts of our agency keep a close eye on the economic situation: only cost-efficient properties are offered to our customers. You can consult a manager, find out more details and start looking for a house or flat in Kensington and Chelsea here.

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