Quizzes & Puzzles10 mins ago
Uk Interest Rates Cut To 0.25%
http:// www.bbc .co.uk/ news/bu siness- 3697652 8
I am not really sure what the Governor of the Bank of England is trying to do here .....can anyone please explain ?
I am not really sure what the Governor of the Bank of England is trying to do here .....can anyone please explain ?
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No best answer has yet been selected by mikey4444. Once a best answer has been selected, it will be shown here.
For more on marking an answer as the "Best Answer", please visit our FAQ.Maybe reducing to zero would have had more impact but I suppose he wants to keep something up his sleeve, and I think the fear of negative interest rates could have caused fear/panic. It may only seem a small change but you could argue it's a drastic change in that it's halved the rate for some borrowers
Monetary policy. Steal from the savers to give to the borrowers so they grab the cheap money and invest to make the economy grow.
Except we were already at 'screw the prudent citizens' rate and and have been for ages; so I'm unsure how much advantage there is to trying to screw them more. They only have a further ¼% of disdain to go anyway then they run out of manoeuvre room.
Except we were already at 'screw the prudent citizens' rate and and have been for ages; so I'm unsure how much advantage there is to trying to screw them more. They only have a further ¼% of disdain to go anyway then they run out of manoeuvre room.
It's ironic ummmm that when I first had a mortgage, it was by far my biggest outlay and how I wished to be free of it. Now it's not my biggest bill and all my other bills will never go away. So to anyone on here wish their mortgage would go away, be aware that it at least can go away your other bills only grow.
Another helpful BBC link :::
http:// www.bbc .co.uk/ news/bu siness- 3697393 6
According to this, £10,000 invested in a typical easy-access account will now earn only £40 per annum gross interest.
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According to this, £10,000 invested in a typical easy-access account will now earn only £40 per annum gross interest.