Another rate cut ‘is possible’
Another cut to the interest rate could be made by the Bank of England's monetary policy committee (MPC) in the coming months, one insider has suggested.
Bank of England deputy governor Rachel Lomax has indicated that the rate could be reduced even further than the current level of 5.25 per cent, which may mean mortgages and remortgages become cheaper for property owners.
Ms Lomax has remarked that the aim of the MPC is maintain the consumer prices index at two per cent, but that this target had no specific timescale.
She added that "discretion" may be used in the up-and-coming monthly decisions.
However, it is unlikely that a rate cut will be made in March as the MPC has never successively voted to reduce rates and a 0.25 per cent trimming was made in February.
December also saw a rate cute of the same amount, following a hold of seven to two in November and preceding an eight to one decision to maintain rates in January.
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