{"id":12618,"date":"2025-09-22T14:23:56","date_gmt":"2025-09-22T13:23:56","guid":{"rendered":"https:\/\/www.craneandco.co.uk\/pages\/?p=12618"},"modified":"2025-09-22T14:27:29","modified_gmt":"2025-09-22T13:27:29","slug":"bank-of-england-reveals-latest-interest-rate-decision","status":"publish","type":"post","link":"https:\/\/www.craneandco.co.uk\/pages\/bank-of-england-reveals-latest-interest-rate-decision\/","title":{"rendered":"Bank of England Reveals Latest Interest Rate Decision"},"content":{"rendered":"

The Bank of England (BoE) has voted to hold the base rate at 4%.<\/span><\/h3>\n

The announcement last week was in line with financial market expectations.<\/p>\n

The steady-as-she-goes approach comes after new figures released wednesday showed inflation remains unchanged at 3.8% (above the Bank\u2019s target of 2%).<\/p>\n

The BoE is obviously keen to get on top of this sticky inflation, hence the decision to hold rates rather than drop them.<\/p>\n

In a statement, it said: \u201cThe [Monetary Policy] Committee remains focused on squeezing out any existing or emerging persistent inflationary pressures, to return inflation sustainably to its 2% target in the medium term.\u201d<\/p>\n

In layman\u2019s terms, that means the Bank thinks inflation is nearing its peak and hope it will be heading downwards soon.<\/p>\n

Are more rate cuts on the cards?<\/strong><\/span><\/h3>\n

The general mood among financial experts is that interest rates will continue to slide, albeit gradually, given all the economic challenges at play.<\/p>\n

Deutsche Bank predicts we might see one more cut in December, but other analysts are more cautious.<\/p>\n

The BoE could also be influenced by the Budget, due to be announced on November 26, and its potential impact on the economy.<\/p>\n

What does all this mean for buyers or those remortgaging?<\/strong><\/span><\/h3>\n

Even though interest rates aren\u2019t decreasing as quickly as they were earlier this year, there\u2019s a lot to be positive about.<\/p>\n

From a borrower\u2019s perspective, the mortgage landscape is much better than it was two years ago.<\/p>\n

Sarah Coles, head of personal finance at Hargreaves Lansdown, said: \u201cFixed mortgage deals have been drifting gradually down for some time, with the average two-year fixed rate falling from 5.2% four months ago to less than 5% (Moneyfacts).\u201d<\/p>\n

For context, the average two-year deal was 6.85% back in August 2023.<\/p>\n

That\u2019s a significant drop, saving borrowers on an average mortgage thousands of pounds each year.<\/p>\n

However, Coles added that rates are \u201cnot going anywhere fast\u201d.<\/p>\n

So if you\u2019re looking to buy, but are waiting until rates drop further, it may not be worth delaying.<\/p>\n

Rates are moving downwards, but slowly, so don\u2019t put important life decisions on hold for something that you can\u2019t control.<\/p>\n

What happens next?<\/strong><\/span><\/h3>\n

The BoE\u2019s monetary policy committee meets to discuss interest rates again on November 6.<\/p>\n

As we flagged earlier, Chancellor Rachel Reeves unveils her Budget at the end of November.<\/p>\n

If you\u2019d like help with your property search, or need a property valuation, contact us today.<\/span> <\/strong><\/h4>\n

Know someone who would find this article helpful? Please share it with them.<\/em><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

The Bank of England (BoE) has voted to hold the base rate at 4%. The announcement last week was in line with financial market expectations. The steady-as-she-goes approach comes after new figures released wednesday showed inflation remains unchanged at 3.8% (above the Bank\u2019s target of 2%). The BoE is obviously keen to get on top […]<\/p>\n","protected":false},"author":3,"featured_media":12622,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_themeisle_gutenberg_block_has_review":false,"footnotes":""},"categories":[6],"tags":[],"class_list":["post-12618","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/posts\/12618","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/comments?post=12618"}],"version-history":[{"count":1,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/posts\/12618\/revisions"}],"predecessor-version":[{"id":12620,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/posts\/12618\/revisions\/12620"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/media\/12622"}],"wp:attachment":[{"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/media?parent=12618"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/categories?post=12618"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.craneandco.co.uk\/pages\/wp-json\/wp\/v2\/tags?post=12618"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}