BoE makes historic 75 basis point rate hike in largest leap since 1989

UK to experience the highest interest rates since the GFC

Elliot Gulliver-Needham
clock • 1 min read

The Bank of England (BoE) has made its largest rate hike since 1989, hiking interest rates by 0.75%.

The historic rise - predicted by many advisers - brings interest rates to 3%, their highest since the global financial crisis in 2008. The central bank's monetary policy committee (MPC) today (3 November) voted seven to two to hike rates, with one member voting to hike rates by 0.5% and one voting to hike rates by just 0.25%. The report from the MPC warned of a "very challenging outlook" for the UK economy, adding that it currently forecasts a prolonged recession. Inflation rates are now expected to peak at about 11% this quarter, which is slightly lower than what had been projecte...

To continue reading this article...

Join Professional Adviser

  • 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.

Join

 

Already a Professional Adviser member?

Login

More on Investment

Jupiter CEO Matthew Beesley

Jupiter cuts investment in unlisted assets for open-ended fund

Policy change following change in investor sentiment

Elliot Gulliver-Needham
clock 08 February 2023 • 1 min read
Robin Geffen (pictured) joined Liontrust in October 2019.

Robin Geffen to exit Liontrust amid global equity consolidation

Shift in strategic focus sees exit of Neptune founder

Valeria Martinez
clock 08 February 2023 • 1 min read
Royal Courts of Justice, London

FCA takes action against unauthorised director it alleges took £2.8m

Breach of restrictions around financial promotion also a concern

Hope William-Smith
clock 07 February 2023 • 1 min read