Hometrack comments on the Bank of England base rate decision

David Ross, the Managing Director of Hometrack – the leading provider of insight and intelligence to the mortgage market – comments on the Bank of England base rate decision and quantitative easing.

“While there are some negative economic headwinds it’s encouraging to see the Bank of England maintain this historically low interest rate. This, combined with the Stamp Duty holiday, will ensure demand for mortgages remains high however, with fewer products now available, it’s increasingly clear many potential home-movers will miss out.

“The impact of COVID on the economy is still not fully clear but the increased QE will help increase spending. We are still some way from the introduction of a negative interest rate but these remain an option for the Bank who could use these to stimulate borrowing and the wider economy next year.”

Kindly shared by Hometrack

Main article photo courtesy of Pixabay