Interest rate remains unchanged
Published On 6 March 2008
The Bank of England has decided that the UK's interest rates will remain unchanged for another month.Rates will remain fixed at 5.25 per cent, the Bank's Monetary Policy Committee (MPC) announced today (Thursday, March 6th).
Last month, the MPC cut rates by a quarter of a percentage point from 5.5 per cent, the second time rates had been cut in three months. March's decision is in line with the predictions of many analysts.
Commenting on the unchanged rate, MoneyExpert.com warned that while the decision will be good news for savers, it is not likely to be greeted with open arms by borrowers.
Sean Gardner, chief executive of the site, explained: "Despite interest rates being the same now as they were in January 2007, banks have shifted their prices considerably over that period.
"The real losers are customers who are not aware of how the market has changed. If you have a savings account that pays less than the base rate you should take your business elsewhere, and fast. Banks aren't bothered about showing loyalty to their customers so don't worry about showing loyalty to yours."
