Bank of England Base rate & other news

[jamesbrown]

So I assume slim chance of interest rates coming down before Feb then

There is literally zero chance of that. A higher chance towards the back end of 2024.

[Martin@AS Financial]

The minutes from last week's meeting at the BOE explaining why the base rate was maintained at 5.25%



https://www.bankofengland.co.uk/mone.../december-2023

[TestMangler]

They should be going up more....10% sounds about right to me....

[Martin@AS Financial]

With the Bank of England due to meet this Thursday, it is interesting to read various predictions on what will happen to the base rate over the next few months.

Here is the FT's report:

https://www.ft.com/content/babd2267-...e-78d8beebfadb



In terms of what this means for mortgages, if we use an example of a purchase price of £500,000 with a loan of £375,000 over 25 years, we are now seeing 2 year fixed rate money starting at 4.1% - £2000pcm.

Using the above example, tracker money on the other hand is starting at 5.4% - £2280. As the base rate tends to rise and fall by 0.25% (unless there is a major emergency), there will need to be numerous decreases before trackers become lower than the current fixed rates on offer.

[SueEllen]

A fall in interest rates may mean this guy can afford to be a minister again before the GE.

https://www.independent.co.uk/news/u...-b2486715.html

[tazdevil]

A fall in interest rates may mean this guy can afford to be a minister again before the GE.

https://www.independent.co.uk/news/u...-b2486715.html

I hope he made sure he has well paid job to go to before resigning and how has he got to his 50's and still has a big mortgage when he's been well remunerated most of his life? I think a lot of people have lived above their means during the years of zilch interest and simply piled the debt on the house. A better approach for him would be to downsize his life

[SueEllen]

I hope he made sure he has well paid job to go to before resigning and how has he got to his 50's and still has a big mortgage when he's been well remunerated most of his life? I think a lot of people have lived above their means during the years of zilch interest and simply piled the debt on the house. A better approach for him would be to downsize his life

He got divorced about a decade ago and has 2 kids in private school.

[Martin@AS Financial]

There was an interesting article in the Guardian a few days ago saying how Britain's richest 10% do not believe they are wealthy:

https://www.theguardian.com/commenti...rivate-schools

[dsc]

There was an interesting article in the Guardian a few days ago saying how Britain's richest 10% do not believe they are wealthy:

https://www.theguardian.com/commenti...rivate-schools

10% best earners is only above 59k? that is absolutely crazy, down south for that amount of money you need to live in a shed, so no wonder no one thinks they are wealthy.

[vetran]

10% best earners is only above 59k? that is absolutely crazy, down south for that amount of money you need to live in a shed, so no wonder no one thinks they are wealthy.

I keep mentioning this have a look at this:

https://www.ons.gov.uk/employmentand...%20per%20month