Bank keeps rate frozen again
The Bank of England's Monetary Policy Committee (MPC) has decided to freeze the base rate of interest at 0.5 per cent for September.
It is the 18th consecutive month that the MPC has elected to keep the record low rate of 0.5 per cent, which could mean another month worth of relatively cheap credit for those considering buying a bespoke conservatory or garden studio.
However, John Charcol expert Ray Boulger explained that the decision was likely taken due to the mixture of statistics released in the past month.
He said that while the figures did little to advance the arguments for increasing the rate, neither did they make a clear case for keeping it frozen.
"Two of the most watched housing indices, those from Nationwide and Halifax, have come much closer into line over the last two months after diverging sharply in the first half of this year," Mr Boulger noted, hinting that things may be getting clearer for the MPC.
Meanwhile, Moneysupermarket.com head of banking Kevin Mountford added that the decision makes things even more difficult for savers, thanks to another month of low returns on interest.
It may encourage some to spend their cash on a bespoke conservatory or other home improvement, where they might eventually see a return on their investment.
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