How mortgages and savings will be affected if the Bank Rate rises to 3pc
Economists and traders are predicting that the Bank of England will increase interest rates on Thursday with the biggest rise in 33 years.
Experts are predicting a 0.75 percentage point rise which will push the Bank Rate up to 3pc.
Fears of surging interest rates have prompted mayhem in the property market recently, and many mortgage borrowers will be fearing what this week’s potentially historic increase could mean for their money.
But while rising interest rates are bad news for borrowers, they should be good news for savers – if banks increase savings rewards in response that is.