Bank of England

THE BANK OF England could lift interest rates as soon as this Thursday, taking borrowing costs to a new six-year high, according to the Daily Telegraph.

Renewed warnings from the Bank of England over attempts by companies to push up prices and other risks of inflation in the medium term, yesterday reinforced the City's belief interest rates will rise again before summer, says the Times .

The City was caught on the hop yesterday after it emerged one member of the Bank of England's Monetary Policy Committee voted for a cut in interest rates this month and no one wanted an increase, reports the Independent .

Anger is growing among employers and pension funds over the tight timetable the government has set for consultation on changes which could produce big cuts in the future value of final-salary pensions, says the Financial Times .

Richard Pym is to step down as chief executive of Alliance & Leicester after five years in the role, says the Daily Telegraph .

The Bank of England signalled yesterday it may need to raise interest rates one more time in the near future to ensure inflation remains under control, according to the Guardian .

There is still strong growth in the market for loans and bridging finance secured against homes, Bank of England analysis of banking deposits suggests.

Minutes from the Monetary Policy Committee's latest interest rate hike decision suggest further interest rate rises may have far less support than expected.

Core inflation surged in December largely because of higher fuel duties according to latest Office for National Statistics data, justifying, economists say, the Bank of England's interest rate rise of last week.

Research published by Heartwood Wealth Management suggests half of City workers intend to spend their entire bonus this season, and most of that on residential property.