UK central bank hikes rates like Fed amid financial turmoil
1 year, 9 months ago

UK central bank hikes rates like Fed amid financial turmoil

Associated Press  

LONDON — The Bank of England extended its battle against inflation Thursday, announcing an 11th consecutive interest rate increase despite concerns about the economic fallout from troubles in the global financial system. Britain’s central bank boosted its key rate by a quarter-percentage point to 4.25%, a day after the U.S. Federal Reserve approved a similar move to tame price increases that are crimping household budgets and slowing economic growth. The Bank of England said Thursday that it had determined that British banks are “resilient.” “The U.K. banking system maintains robust capital and strong liquidity positions and is well placed to continue supporting the economy in a wide range of economic scenarios, including in a period of higher interest rates,” the central bank said. The Swiss central bank also went higher, hiking by half a point Thursday and declaring that the government-orchestrated takeover of Credit Suisse by Swiss rival UBS “put a halt to the crisis.” A week ago, the European Central Bank increased rates by a half-point, brushing aside the financial market jitters and calling Europe’s banking sector resilient.

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History of this topic

Bank of England HOLDS interest rates despite UK economy stalling after Labour's Budget raid - with fears over resurgent inflation
Trending News
4 days, 14 hours ago

Bank of England HOLDS interest rates despite UK economy stalling after Labour's Budget raid - with fears over resurgent inflation

Daily Mail  

The Bank of England kept interest rates on hold today despite mounting alarm at the stalling economy. Interest rates, which influence how much banks charge for loans and mortgages, are used as a tool by the central bank to keep inflation at its 2 per cent target level. Most economists had thought the latest data, and the prospect of price …

Bank of England warns of ‘heightened uncertainty’ as it keeps interest rates on hold
4 days, 16 hours ago

Bank of England warns of ‘heightened uncertainty’ as it keeps interest rates on hold

Associated Press  

LONDON — The U.K.’s central bank warned Thursday of “heightened uncertainty” as it kept interest rates on hold after inflation moved further above target, even at a time when the British economy is flatlining at best. The Bank of England’s nine-member Monetary Policy Committee kept its main interest rate unchanged at 4.75% with new data showing inflation rising to 2.6%, …

Interest rates live updates: Bank of England verdict due after surprise inflation rise
Top News
4 days, 17 hours ago

Interest rates live updates: Bank of England verdict due after surprise inflation rise

The Independent  

Chancellor of the exchequer Rachel Reeves said the figures are a ‘reminder that for too long the economy has not worked for working people For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN …

Bank of England set to keep interest rates on hold TODAY despite UK economy stalling after Labour's Budget raid - with fears over resurgent inflation
Top News
4 days, 18 hours ago

Bank of England set to keep interest rates on hold TODAY despite UK economy stalling after Labour's Budget raid - with fears over resurgent inflation

Daily Mail  

The Bank of England is set to keep interest rates on hold today despite mounting alarm at the stalling economy. Interest rates, which influence how much banks charge for loans and mortgages, are used as a tool by the central bank to keep inflation at its 2 per cent target level. Rob Wood, chief UK economist for Pantheon Macroeconomics, said: …

Inflation rates live: Bank of England expected to hold interest rates at 4.75 per cent
Top News
5 days, 7 hours ago

Inflation rates live: Bank of England expected to hold interest rates at 4.75 per cent

The Independent  

Chancellor of the exchequer Rachel Reeves said the figures are a ‘reminder that for too long the economy has not worked for working people For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN …

What does rising inflation mean for you - and has it killed off a Bank of England interest rate cut?
5 days, 17 hours ago

What does rising inflation mean for you - and has it killed off a Bank of England interest rate cut?

Daily Mail  

Inflation in the UK climbed to 2.6 per cent in November, it was revealed today, as the rise in the cost of living accelerated again. James Smith, developed markets economist, UK, at ING, said: 'Our base case is for back-to-back to rate cuts from February onwards, with Bank Rate falling to 3.25 per cent later in the year. While services …

UK inflation increase solidifies expectations interest rates will be kept on hold
5 days, 19 hours ago

UK inflation increase solidifies expectations interest rates will be kept on hold

Associated Press  

LONDON — Inflation in the U.K. rose to its highest level in eight months during November, official figures showed Wednesday, a development that has cemented market expectations that the Bank of England will opt against cutting borrowing costs this week. It said stubbornly high inflation in the crucial services sector, which accounts for around 80% of the U.K. economy, and …

Surge in wages means beleaguered borrowers must wait for interest rates cut
Trending News
6 days, 14 hours ago

Surge in wages means beleaguered borrowers must wait for interest rates cut

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England is …

Bank of England expected to hold interest rates after jump in inflation
1 week, 3 days ago

Bank of England expected to hold interest rates after jump in inflation

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England is …

Energy costs push UK inflation to 2.3 percent
1 month ago

Energy costs push UK inflation to 2.3 percent

China Daily  

Inflation in the United Kingdom increased to 2.3 percent in October, putting pressure on the Bank of England to wait until next year before making additional interest rate cuts. Figures released by the Office for National Statistics, or ONS, on Wednesday showed that surging household energy costs pushed the consumer price index higher, breaking the pattern of declining inflation rates …

Three major banks hike fixed rate mortgages: Why are costs RISING after the Bank of England cut?
1 month, 1 week ago

Three major banks hike fixed rate mortgages: Why are costs RISING after the Bank of England cut?

Daily Mail  

Three of Britain's biggest mortgage lenders are increasing rates, despite the Bank of England cutting interest rates last week. Last week, TSB and Santander were among a number of lenders to announce they were cutting mortgage rates across tracker and variable rate deals, in response to the Bank of England cutting base rate from 5 per cent to 4.75 per …

Bank of England cuts interest rate to 4.75% as UK inflation drops, but economic uncertainty looms
Top News
1 month, 2 weeks ago

Bank of England cuts interest rate to 4.75% as UK inflation drops, but economic uncertainty looms

Firstpost  

From the start of the year to September, UK inflation stood at 1.7 per cent, its lowest level since April 2021 and below the central bank’s target rate of 2 per cent The Bank of England cut its main interest rate by a quarter of a percentage point on Thursday after inflation across the UK fell below its target rate …

Boost for Brits as Bank of England trims interest rates from 5% to 4.75%... but will hopes of 'aggressive' cuts be dashed by Labour's big-spending Budget?
Top News
1 month, 2 weeks ago

Boost for Brits as Bank of England trims interest rates from 5% to 4.75%... but will hopes of 'aggressive' cuts be dashed by Labour's big-spending Budget?

Daily Mail  

The Bank of England cut interest rates today - amid fears the big-spending Budget will keep borrowing costs higher in future. Tim Moore, economics director at S&P Global Market Intelligence, said: 'October data signalled another slowdown in output growth across the service sector as heightened business uncertainty and concerns about the general UK economic outlook had an adverse impact on …

Brits hope for mortgage relief with Bank of England poised to cut interest rates TODAY… but fears big-spending Budget could keep borrowing costs higher for years
1 month, 2 weeks ago

Brits hope for mortgage relief with Bank of England poised to cut interest rates TODAY… but fears big-spending Budget could keep borrowing costs higher for years

Daily Mail  

The Bank of England is poised to cut interest rates today - but could signal that the big-spending Budget will keep borrowing costs higher in future. Threadneedle Street's decision could be swayed by grim figures this week showing growth in the UK services sector slowing to its lowest rate in nearly a year. Tim Moore, economics director at S&P Global …

Bank of England cuts UK interest rates again despite modest budget-related inflation spike
1 month, 2 weeks ago

Bank of England cuts UK interest rates again despite modest budget-related inflation spike

Associated Press  

LONDON — The Bank of England cut its main interest rate by a quarter of a percentage point to 4.75% on Thursday after inflation across the U.K. fell significantly, relieving some pressure on borrowers who have faced elevated mortgage and loan costs. Though inflation has fallen below the bank’s target of 2%, Governor Andrew Bailey cautioned that interest rates would …

Bank of England poised to cut UK interest rates for second time this year
Top News
1 month, 2 weeks ago

Bank of England poised to cut UK interest rates for second time this year

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy UK borrowing costs are set …

UK's central bank cuts interest rate
1 month, 2 weeks ago

UK's central bank cuts interest rate

China Daily  

By Earle Gale in London | chinadaily.com.cn | Updated: 2024-11-07 22:35 Pedstrians pass the Bank of England, Britain's central Bank, in London, on November 7, 2024. The United Kingdom's central bank, the Bank of England, or BoE, cut its base interest rate on Thursday, to 4.75 percent from 5 percent, in a move seen as a declaration that rampant inflation …

Something to cheer us all with rates set be slashed on both sides of the Atlantic: ALEX BRUMMER
1 month, 2 weeks ago

Something to cheer us all with rates set be slashed on both sides of the Atlantic: ALEX BRUMMER

Daily Mail  

Coming hot on the heels of two momentous events – and I don’t mean Halloween and Guy Fawkes – scant attention is being paid to interest rates. Both the Bank of England and the US Federal Reserve are odds on to cut official interest rates. Prediction: Both the Bank of England and the US Federal Reserve are odds on to …

European Central Bank lowers interest rate to 3.25% in third cut this year
2 months ago

European Central Bank lowers interest rate to 3.25% in third cut this year

Daily Mail  

Rate cut: The ECB has lowered its benchmark borrowing rate to 3.25% - piling pressure on the Bank of England to move faster in the UK The European Central Bank has cut interest rates for the third time this year. The Frankfurt-based institution lowered its benchmark borrowing rate to 3.25 per cent. The Bank of England approved its first rate …

Interest rate cut ‘nailed on’ after UK inflation falls to three-year low
2 months, 1 week ago

Interest rate cut ‘nailed on’ after UK inflation falls to three-year low

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy A fall in UK inflation …

Bank of England could be ‘more aggressive’ with interest rate cuts, says governor
2 months, 2 weeks ago

Bank of England could be ‘more aggressive’ with interest rate cuts, says governor

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please try again later {{ …

Could the conflict in the Middle East have a knock-on effect on interest rates?
2 months, 2 weeks ago

Could the conflict in the Middle East have a knock-on effect on interest rates?

The Independent  

The pound fell sharply on Thursday after Andrew Bailey, the governor of the Bank of England, said in a newspaper interview that the Bank could become “a bit more aggressive” in cutting interest rates if inflation remains subdued. He said “the economy has come through the shocks of the last five years better than many of us feared”, but warned …

Bank says interest rates could be cut ‘gradually’ after holding at 5%
3 months ago

Bank says interest rates could be cut ‘gradually’ after holding at 5%

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England has …

UK interest rates live: Bank of England holds at 5% after shock US Fed cut
3 months ago

UK interest rates live: Bank of England holds at 5% after shock US Fed cut

The Independent  

✕ Close Inflation set to remain above 2% target in August, say experts Get the free Morning Headlines email for news from our reporters across the world Sign up to our free Morning Headlines email Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates …

UK interest rates kept at 5% as Bank of England says ‘vital’ inflation stays low
3 months ago

UK interest rates kept at 5% as Bank of England says ‘vital’ inflation stays low

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England has …

Bank of England widely expected to hold interest rates despite big US Fed cut
3 months ago

Bank of England widely expected to hold interest rates despite big US Fed cut

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Please try again later {{ …

Bank of England poised to hold interest rates at 5%, economists say
3 months ago

Bank of England poised to hold interest rates at 5%, economists say

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England is …

Why the Reserve Bank will be forced to cut rates before year's end
3 months, 2 weeks ago

Why the Reserve Bank will be forced to cut rates before year's end

ABC  

Until just a few weeks ago, it seemed as though the developed world had pulled off what once was thought to be the impossible. And yet, despite this mounting evidence of a critical economic slump, there remains a rump of high-profile economists openly criticising the Reserve Bank of Australia's reluctance to push interest rates above 5 per cent. Parliament House …

Interest rate cuts push house prices to a two-year high – but there is trouble brewing in the market
3 months, 2 weeks ago

Interest rate cuts push house prices to a two-year high – but there is trouble brewing in the market

The Independent  

The housing market is getting toasty. The latest figures issued by lender Halifax found prices increased by 0.3 per cent in August, bringing them to a two year high. Guy Gittins, the CEO off Foxtons, said: “We’re seeing more enquiries and more offers made, with buyers also acting with greater confidence since interest rates were cut at the start of …

Bank of England lowers benchmark rate to 5 pct, first cut in 4 years
4 months, 3 weeks ago

Bank of England lowers benchmark rate to 5 pct, first cut in 4 years

China Daily  

LONDON -- The Bank of England has voted to cut its benchmark interest rate to five percent, the United Kingdom's central bank said in a statement on Thursday. At a meeting on Wednesday, the BoE's Monetary Policy Committee voted by a majority of 5-4 to reduce the interest rate by 0.25 percentage point, to 5 percent. This is BoE's first …

Bank of England lowers benchmark rate to 5 pct, first cut in 4 years
4 months, 3 weeks ago

Bank of England lowers benchmark rate to 5 pct, first cut in 4 years

China Daily  

LONDON -- The Bank of England has voted to cut its benchmark interest rate to five percent, the United Kingdom's central bank said in a statement on Thursday. At a meeting on Wednesday, the BoE's Monetary Policy Committee voted by a majority of 5-4 to reduce the interest rate by 0.25 percentage point, to 5 percent. This is BoE's first …

Bank of England interest rate cut joy for mortgage holders as Rachel Reeves blames mini-Budget for inflation - UK politics live
4 months, 3 weeks ago

Bank of England interest rate cut joy for mortgage holders as Rachel Reeves blames mini-Budget for inflation - UK politics live

The Independent  

✕ Close Rachel Reeves admits taxes will rise in first Budget Sign up for the View from Westminster email for expert analysis straight to your inbox Get our free View from Westminster email Get our free View from Westminster email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy …

In a first since pandemic, Bank of England lowers key interest rates
4 months, 3 weeks ago

In a first since pandemic, Bank of England lowers key interest rates

Firstpost  

The Bank of England, in a statement, said its policymaking panel backed a quarter-point reduction in its main interest rate to 5 per cent, from the 16-year high of 5.25 per cent A man walks up the stairs in from of the Bank of England in London. The Bank of England has cut interest rates for the first time since …

Interest rates: Everything you need to know as Bank of England makes August announcement
4 months, 3 weeks ago

Interest rates: Everything you need to know as Bank of England makes August announcement

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy The Bank of England could …

Bank of England lowers its main interest rate by 0.25%, to 5%, its first cut in over 4 years
4 months, 3 weeks ago

Bank of England lowers its main interest rate by 0.25%, to 5%, its first cut in over 4 years

Associated Press  

LONDON — The Bank of England has cut interest rates for the first time since the onset of the COVID-19 pandemic in early 2020 as inflationary pressures in the economy have eased. “Inflationary pressures have eased enough that we’ve been able to cut interest rates today,” said Bank Gov. Ensuring low and stable inflation is the best thing we can …

Bank of England keeps main interest rate at 16-year high of 5.25% despite inflation fall
6 months ago

Bank of England keeps main interest rate at 16-year high of 5.25% despite inflation fall

Associated Press  

LONDON — The Bank of England on Thursday kept its main interest rate at a 16-year high of 5.25% even though inflation has fallen to its target of 2%, with several policymakers warning that a premature cut could stoke another bout of price rises. It said the decision was, as always, based on achieving the 2% inflation target “sustainably in …

Bank of England edges closer to rate cut, possibly in June, as it predicts below-target inflation
7 months, 2 weeks ago

Bank of England edges closer to rate cut, possibly in June, as it predicts below-target inflation

Associated Press  

LONDON — The Bank of England maintained its key U.K. interest rate at a 16-year high of 5.25% though it gave a broad hint that a reduction could be on the cards as soon as June as inflation is forecast to fall below target. I’m optimistic that things are moving in the right direction.” Bailey indicated that the financial markets …

Interest rates held – but a small early interest rate cut could be on the cards to help borrowers
9 months ago

Interest rates held – but a small early interest rate cut could be on the cards to help borrowers

The Independent  

Is there light at the end of the tunnel for Britain’s borrowers, who have endured an extended spell of high interest rates? However, it clears the way for a modest easing of the current “restrictive” policy that is squeezing Britain’s economy even as it struggles to escape last year’s shallow recession. Chancellor Jeremy Hunt’s latest Budget is expected to grow …

UK inflation is heading in ‘right direction,’ but Bank of England isn’t ready to cut rates
9 months ago

UK inflation is heading in ‘right direction,’ but Bank of England isn’t ready to cut rates

Associated Press  

LONDON — The Bank of England kept its main interest rate unchanged at a 16-year high on Thursday and avoided signaling, unlike other central banks, when it might start to cut even though inflation has dropped sharply from multidecade peaks. In the U.K., market expectations that lower interest rates were on the horizon got a boost this week with news …

Inflation is falling fast – but will the Bank of England move to cut interest rates?
9 months ago

Inflation is falling fast – but will the Bank of England move to cut interest rates?

The Independent  

Some welcome news for consumers: inflation has once again fallen by more than expected. The headline number for February, per the Office for National Statistics, came in at 3.4 per cent – below both the consensus of the City and the Bank of England’s own forecast of 3.5. The CPI “all services” rate also declined to 6.1 per cent in …

UK inflation falls by more than expected in February, triggering talk of lower interest rates
9 months ago

UK inflation falls by more than expected in February, triggering talk of lower interest rates

Associated Press  

LONDON — Price rises in the U.K. eased more than anticipated in February, official figures showed Wednesday, raising expectations that with the cost-of-living crisis abating, the Bank of England may start cutting interest rates in the next few months. The Bank of England, like the U.S. Fed and other central banks around the world, raised interest rates aggressively in late …

How the Bank of England’s rate rises lost their power
9 months, 1 week ago

How the Bank of England’s rate rises lost their power

The Telegraph  

Services costs are rising rapidly everywhere you look: care home fees are up by one-tenth. Ian Stewart, chief economist at Deloitte, notes that households had a big pile of savings built up during Covid that let them keep spending even as prices rose. Catherine Mann, an MPC member, told a recent Financial Times conference that “a lack of consumer discipline” …

UK fell into recession at the end of 2023 as economy takes center stage in runup to general election
10 months, 1 week ago

UK fell into recession at the end of 2023 as economy takes center stage in runup to general election

Associated Press  

LONDON — The British economy fell into recession at the end of 2023 for the first time since the onset of the coronavirus pandemic, as output shrank more than anticipated in the final three months of the year, official figures showed Thursday. The quarterly decline followed a 0.1% fall in the previous three-month period and highlights how the economy has …

ECB, BOE Shouldn't Wait for Fed to Cut Interest Rates
10 months, 2 weeks ago

ECB, BOE Shouldn't Wait for Fed to Cut Interest Rates

Hindustan Times  

-- With the US economy continuing to dodge recession, the Federal Reserve appears to be in no rush to cut interest rates. US Treasury yields have risen around 20 basis points across the curve this year, and even if the first rate cut isn't first-quarter business, it'll probably happen before summer. Fed Chair Jerome Powell is keeping his options open, …

Like the US Fed, Bank of England is edging toward interest rate cuts — but not quite yet
10 months, 3 weeks ago

Like the US Fed, Bank of England is edging toward interest rate cuts — but not quite yet

Associated Press  

LONDON — Just like the U.S. Federal Reserve, the Bank of England is edging toward cutting interest rates — though not quite yet. “We need to see more evidence that inflation is set to fall all the way to the 2% target, and stay there, before we can lower interest rates,” he said. Bailey also said the bank was keeping …

Financial markets are jonesing for interest rate cuts. Not so fast, says the European Central Bank
10 months, 4 weeks ago

Financial markets are jonesing for interest rate cuts. Not so fast, says the European Central Bank

Associated Press  

FRANKFURT, Germany — European Central Bank President Christine Lagarde pushed back Thursday against market expectations for quick interest rate cuts even as Europe’s economy sputters and financial markets froth in hopes of cheaper credit that would boost business activity and stock prices. was that it was premature to discuss rate cuts.” Financial markets have been expecting a cut as early …

Cutting interest rates too soon in Europe risks progress against inflation, central bank chief says
11 months ago

Cutting interest rates too soon in Europe risks progress against inflation, central bank chief says

Associated Press  

FRANKFURT, Germany — Cutting interest rates too soon could threaten Europe’s progress in battling the inflation that has ravaged the economy, the head of the European Central Bank said Wednesday amid widespread speculation that the bank soon will lower rates from record highs. Christine Lagarde, faced with market expectations for rate cuts as soon as March or April and a …

Bank of England official hints at interest rate shift as UK faces recession
1 year ago

Bank of England official hints at interest rate shift as UK faces recession

The Telegraph  

While the Imperial College Business School professor, who has voted four times to raise interest rates to 5.5pc from 5.25pc since August, insisted that he would not shift his stance “based on one month data”, a darkening economic backdrop will pile more pressure on the Bank to cut rates to kickstart growth. Another quarter of economic decline would mark the …

UK inflation falls by more than anticipated to 2-year low of 3.9% in November
1 year ago

UK inflation falls by more than anticipated to 2-year low of 3.9% in November

The Independent  

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Read our privacy policy Inflation in the U.K. as …

Bank of England holds interest rates at a 15-year high despite worries about the economy
1 year ago

Bank of England holds interest rates at a 15-year high despite worries about the economy

Associated Press  

LONDON — The Bank of England kept borrowing rates unchanged Thursday despite mounting worries over the state of the British economy, and it showed little sign that it is contemplating cutting them anytime soon — unlike the U.S. Federal Reserve. The central bank left its main interest rate at a 15-year high of 5.25%, where it has stood since August …

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