Thread: UK Interest Rates To Go Down Further?

New year is a good moment for bold decisions, and this Thursday Mervyn King, the governor of the Bank of England, is expected to start 2009 as he means to go on: cutting interest rates to their lowest level since the Bank was founded in 1694.

Rates have already been reduced from 5% to 2% since the autumn, in an unprecedented onslaught on the worsening recession; but the Bank's nine-member monetary policy committee is widely expected to make another reduction, of perhaps 0.5 percentage points, this week.

Guardian.co.uk

I think reducing the interest further is almost pointless, banks said they will not be passing the reduction to customers, this will weakens the pounds further, I am not pleased about this.

Originally Posted by TeamPlayer

New year is a good moment for bold decisions, and this Thursday Mervyn King, the governor of the Bank of England, is expected to start 2009 as he means to go on: cutting interest rates to their lowest level since the Bank was founded in 1694.

Rates have already been reduced from 5% to 2% since the autumn, in an unprecedented onslaught on the worsening recession; but the Bank's nine-member monetary policy committee is widely expected to make another reduction, of perhaps 0.5 percentage points, this week.

Guardian.co.uk

The whole idea is to get us to move away from the pound and to the Euro. I bet it's all planned.

The pound against the Euro is now really weak