Who increased interest rates in the UK?
On Thursday the 5th of May, the Bank of England increased interest rates. The Bank of England’s MPC (Monetary Policy Committee) was in charge of making the decision to do this. The MPC is consists of nine members. This includes people such as the Governor and the Chief Economist. Every member has one vote to cast. To help them make the correct decision, the Chancellor also appoints some external members. They make their decision based on a range of factors. Any monetary policies that haven’t been released by the Government yet are also included so they can make an informed decision.
The rate was around 0.5% before the start of Covid. The full list of figures can be seen below:
- 2012 – August 2016 = 0.5%
- August 2016 – November 2017 = 0.25%
- November 2017 – July 2018 = 0.5%
- July 2018 – March 2020 = 0.75%
- March 2020 – December 2021 = 0.1%
- December 2021 – February 2022 = 0.25%
- February 2022 – March 2022 = 0.5%
- March 2022 – April 2022 = 0.75%
- May = 1%
According to industry experts, the rate is expected to rise to 2% by the end of this year. This is because of rising accumulative increase over the past few months.
Why have they risen?
There are many reasons why the MPC made this decision. One is the reopening of the world since the Covid pandemic where interest rates declined rapidly. On the other hand, due to Russia’s invasion of Ukraine, the impact this has had on both gas and oil prices has been huge. This problem is expected to accumulate as the months go by.
What can you do about the rise in interest rates?
To secure your finance agreement now with fixed interest rates, feel free to reach out and contact us here at WestWon Dental. As seen above, interest rates are expected to rise over the next coming months, even until the end of the year. This is why now is the time for you to start thinking about arranging a finance agreement. Our fast and simple process enables you to be sent a quote immediately. Therefore, get in touch and one of our account managers be able to help you with your finance needs.
If you would like more information on the rise in interest rates, or if you have any other finance needs, then please don’t hesitate to contact us. You can therefore email us on email@example.com, or alternatively you can call us on 01494 611 456.