” The increase in interest rates must stop to prevent the economy being harmed. The Bank of England were right to raise rates in the past because of inflation. As these problems start to disappear it is time now to stop the regular increase in rates. All these decisions obviously depend on the data which is produced on a regular basis, however we are now approaching a time when interest rates should have peaked and possible reductions planned for the future. What is the future for interest rates?“
Nigel Holland
- Bank must stop raising rates now, it may be too late.
- Higher rates could provoke the very inflation they are designed to control.
- Our GDP rises by 0.2pc.
- This good news could have a downside courtesy of The Bank of England.
- The UK economy grew during the three months to June, boosted by a manufacturing recovery and decent weather.
- While GDP contracted in May – in part because of the extra bank holiday – growth recovered in June.
- But headline inflation fell to 7.9pc during the year to June, down from 8.7pc the month before.
- The economy has been on the brink of stagnation.