The Bank of England has announced that interest rates will rise from 0.25% to 0.5%. The Bank of England Monetary Policy Committee voted by seven votes to two votes on 2 November 2017 to increase rates, which hadn’t been increased since 2007.
A statement from the Bank of England said:
“The Bank of England’s Monetary Policy Committee (MPC) sets monetary policy to meet the 2% inflation target, and in a way that helps to sustain growth and employment. At its meeting ending on 1 November 2017, the MPC voted by a majority of 7-2 to increase Bank Rate by 0.25 percentage points, to 0.5%. The Committee voted unanimously to maintain the stock of sterling non-financial investment-grade corporate bond purchases, financed by the issuance of central bank reserves, at £10 billion. The Committee also voted unanimously to maintain the stock of UK government bond purchases, financed by the issuance of central bank reserves, at £435 billion”.