The Association of Mortgage Intermediaries (AMI) says even a 1% cut in interest rates this week will not be enough to get the market back on its feet.
The Bank of England's rate-setting Monetary Policy Committee (MPC) is widely expected to slash the base rate yet again tomorrow by as many as 100 basis points to 2%. It follows an unplanned 0.5% cut at the beginning of October - the first emergency cut in the UK since 11 September 2001 - and a 1.5% cut later that month, pulling interest rates down to 3%. But the AMI, which is among those calling for a 1% cut, says even that may not be enough to get the mortgage market moving again. "[A 1% cut] is essential to keep the wider economy moving forwards in combination with the initiatives a...
To continue reading this article...
Join Professional Adviser for free
Signup and gain exclusive members-only insights
- Unlimited access to real-time news, industry insights and market intelligence
- Stay ahead of the curve with spotlights on emerging trends and technologies
- Receive breaking news stories straight to your inbox in the daily newsletters
- Make smart business decisions with the latest developments in regulation, investing retirement and protection
- Members-only access to the editor’s weekly Friday commentary
- Be the first to hear about our events and awards programmes
