Lee Hopley, director of economic analysis and research at UK Finance, said there was no certainty of an interest rate hike tomorrow from its record 0.1%, s ‘voicing at today’s Mortgage and Protection event in Salford.
Policymakers have suggested that a decision could be imminent, but it is not clear whether that decision will come tomorrow or in mid-December.
Hopley said he felt very balanced. “There are people on this committee who have never voted for a rate hike,” she added.
The market has forecast a rise to 1.25-1.5% by 2023, she said.
Markets aren’t sure when, with analysts suggesting the vote will likely be split. Some BoE policymakers, such as Gov. Andrew Bailey and famous hawk Michael Saunders, have hinted they could support an immediate hike, while others have seemed more reluctant.
Hopley said this is still a far cry from the mortgage rates we are currently reviewing. “A lot of people have gone to university and their entire working life and have never seen an interest rate of 1%, so the psychological impact of a rate hike is going to be interesting,” she said. declared.
Victoria is the senior editor of the Mortgage Solutions and Your Mortgage group at AE3 Media. Previous titles include editor of What Mortgage and Credit Today and freelance work for various titles including The Guardian, Which? and Money.co.uk