MPC pushes interest rates to 5.75%

The Monetary Policy Committee (MPC) warned that inflation remains a danger, saying “most indicators of pricing pressure remain elevated”. The rise will add £16 a month to an average £100,000 repayment mortgage, but it could be good news for savers whose cash should earn higher interest. The MPC’s comments have led some commentators to predict yet further rises before the end of the year. But Trevor Williams from Lloyds TSB Corporate Markets said another rate rise could prove disastrous. “The effects of the earlier increases haven't yet come through,” he said. “We are at a very delicate...