The Bank of England increases interest rate to 0.5%
The Bank of England increases interest rate to 0.5%
  Economy  |  International

The Bank of England increases interest rate to 0.5%

It is the first time since 2004 that the central bank has opted to lift interest rates at two consecutive Monetary Policy Committee meetings.
RE+D magazine
18.03.2022
The Bank of England has increased interest rates to 0.5%, it was announced on Thursday, as it looks to curb soaring inflation.

The widely-expected 0.25 percentage point hike follows December’s decision to increase rates to 0.25% from a record low of 0.1%. 

It is the first time since 2004 that the central bank has opted to lift interest rates at two consecutive Monetary Policy Committee meetings.

The MPC voted for the rise of a majority of 5-4. But the dissenting minority voted to rise rates at a faster pace, by 0.5 basis points to 0.75%.

The BoE is trying to tackle growing price pressures which have seen inflation hit a near-30-year of 5.4%, well above its 2% target, while ensuring the economy continues to grow post pandemic.

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