Mortgage news
Latest Base Rate Decision
Dale Mortgage Brokers comments on the Bank of England's decision to reduce the base rate to 0.5%.
"This month's 0.5% cut is the Monetary Policy Committee's sixth consecutive base rate cut, and as the base rate edges ever closer to 0%, borrowers on tracker mortgages with no cap are increasingly reaping the benefits.
"This latest cut is not the only attempt to kick-start the economy, as the Bank of England is set to expand the amount of money in the system by £75bn in an attempt to boost bank lending - a process called quantitative easing. With this injection into the system banks should have more available credit from which they can increase their levels of lending to both individuals and businesses. In turn it is expected that this will increase activity in the economy, and avoid the looming threat of deflation. The prospect of this bold step will put further pressure on banks to act in the best interests of the consumer and return to a lending level similar to that of the past if the economy is to move again".
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