Interest rates are likely to increase to 1.75%; this has been the highest number in three decades. Even though the Bank of England has not confirmed it officially, the general public is expecting it to announce the news any time soon.
It has been predicted that inflation could increase upto 15% by the end of this year. Therefore, to combat its repercussions, high rates of interest are likely to be put in order.
According to BBC, analysts are predicting that the upsurge in interest will start getting implemented within this month. Besides, they are also expecting a further soar by the end of this year.
There are many ways in which the government can increase interest.
First off, it will be seen in the mortgage, which is predicted to rise somewhere between £52 to £59. Secondly, interest will also be charged on credit cards, bank, and car loans. Last but not least, high-interest rates could also affect a person’s savings.
The upsurge in interest rates has disturbed the general public. In a recent poll, around 60% of people have voiced their apprehensions. While some fear the higher cost of living, others are more concerned about increasing energy bills.
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