Interest rates unlikely to reach 4.75% by next summer, say City economists
City economists argue that financial markets are overly pessimistic regarding Bank of England interest rate hikes. Experts suggest that rate increases will likely be more moderate than current market predictions, with potential for cuts by late 2027.
Why it matters
Accurate interest rate forecasting is critical for investors, homeowners, and businesses planning for future borrowing costs and economic stability.
The Bank of England on Threadneedle Street, London. The monetary policy committee is expected to raise rates to 4% next month. The Bank of England on Threadneedle Street, London. The monetary policy committee is expected to raise rates to 4% next month. Interest rates Interest rates unlikely to reach 4.75% by next summer, say City economists Experts say Bank of England unlikely to increase rates by full percentage point – and could lower them by end of 2027
Prefer the Guardian on Google Financial markets are wrong to predict the Bank of England will raise UK interest rates by a full percentage point or more by next summer, City economists believe.
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