BOE rate stays at 0.5%

The Bank Of England rate remained at 0.5%. The rate has stayed the same for the 38th month in row.

The BOE rate staying the same indicates that there are concerns regarding a double dip recession and also concerns about increasing inflation at a higher rate than expected.

Its going to be a tough final year for Mervyn King who’s last year it is governing the Bank Of England as he balances inflation and interest rate policy.

Meanwhile Standard Variable rates from the high street lenders have been on the increase which has resulted in more customers looking to change on to a better deal.

Mortgage criteria is changing constantly between lenders and it is essential for our team to keep up to date with which lenders criteria so that we can place. There has been quite a change over the last few years and more so recently with the criteria for interest only mortgages, with big deposits being required to obtain the facility with certain lenders.