27 Comments

1. 

   @nickerrison-davey9099

   January 1, 2024 at 7:22 am

   I hope Greta Thunberg is proud of herself

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2. 

   @elliotlambert3817

   January 1, 2024 at 7:22 am

   Some fool thinks that raising interest rates brings down inflation. First this puts costs up, that is inflationary, somebody will get an increase in interest payment from savings, this is unearned income and is inflationary, which spin doctor managed to convince Joe public that raising mortgage rates will ease inflation. Wake up smell the corruption. The banks just want to build a bigger rental portfolio as they steal your home then rent it back to you. Talk about sub prime all over again, government legislation should prevent this, it will not however due to MP's self interest. Richie did not get where he is Ha Ha Ha

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3. 

   @nileamish2313

   January 1, 2024 at 7:22 am

   Tis the whole idea give them less to spend and what breadcrumbs they do have make sure it's all to too expensive to buy. L@@k at it the big pic all an anti-human agenda!

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4. 

   @TheAffrojutty

   January 1, 2024 at 7:22 am

   High inflation… nothing to do with all the money they’ve been printing?? 🤔

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5. 

   @firstknight6057

   January 1, 2024 at 7:22 am

   And just wait for the tax hikes…. The only way out of this shit show is a violent brutal REVOLUTION

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6. 

   @crazymtbrider

   January 1, 2024 at 7:22 am

   Take it back out their pockets by force if necessary they caused this and have benefited from it

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7. 

   @garyoneill545

   January 1, 2024 at 7:22 am

   Two and a half years lockdown.

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8. 

   @paulh3935

   January 1, 2024 at 7:22 am

   I rarely hear anyone mention the fact that the dollar is so strong against all currencies. This in itself creates massive inflationary pressure bearing in mind oil and other commodities are priced in dollars. Therefore the BOE has to raise the base rate just to protect the pound. Why is the dollar so strong? Because the Fed keeps raising its base rate. The Fed needs to keep doing this to control USA domestically generated inflation much of it created when the Biden administration unnecessarily pumped trillions into the US economy much of which was for social engineering/ideological reasons. This compounded any normal/natural inflation caused by coming out of lockdown etc.

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9. 

   @kevingrant7098

   January 1, 2024 at 7:22 am

   Mortgage going up nothing to do with Liz trust them. Decrease in exports nothing to do with Brexit then

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10. 

    @RE-ng5uw

    January 1, 2024 at 7:22 am

    Only a few days ago there was a so called ' economy expert ' on here saying interest rates were coming down. Now in the blink of an eye they're going up again 🤔

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11. 

    @MonkeyMagick

    January 1, 2024 at 7:22 am

    Look at 2007-8 and you'll see markets and economy can decorelate at times like this. Cryptocurrency market cycle seems to have bottomed out. HEX outperformed bitcoin by about 100x in the last 3 years, so I know how I'm lining my ducks up for the next market cycle.

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12. 

    @joshuaparrott2458

    January 1, 2024 at 7:22 am

    Brexit isn’t working.

    We should never have left: and if we were implacably resolved to leave, we should have stayed in the single market. We didn’t, because remaining as rule-takers while ceasing to be rule-makers looked silly – and was silly.

    So we plumped instead for something that turned out to be even sillier: the dream of a buccaneering Britain, slashing regulations and making great new trade deals around the globe.

    In our hearts we all now know this won’t happen, but Leavers don’t want to acknowledge it and Remainers see no point in rubbing it in.

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13. 

    @reeling-in

    January 1, 2024 at 7:22 am

    Don’t worry! That rich London bloke with the title, Starmer will be well warm and fed in his second home!

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14. 

    @richardduplessis1090

    January 1, 2024 at 7:22 am

    The Covid scam, and all of the atronomical borrowings it took to destroy the economy and pay everyone to stay at home and doing nothing for 2 yrs, now has to be aid for. MOST of us with a brain new this, and NOW we're looking at the consequences.

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15. 

    @MikeHarrison3266

    January 1, 2024 at 7:22 am

    What got us here, Two things, the lie and scam that is the climate crisis and of course the plandemic that was covid. We have been conned on a massive scale and we fell for it.

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16. 

    @jonniea6601

    January 1, 2024 at 7:22 am

    Interest Rate History

    During the 18th century, interest rates in the UK were stable, remaining at 4-5% regardless of the issue. The instability came about in the 19th century, where there was more volatility in the interest rates that saw it moving anywhere between 4 and 10%. The start of the 20th century was no different, with the same instability and constant flux between 5 and 10% instead.

    The 1979 Conservative government

    The incoming administration of Margaret Thatcher raised interest rates to 17 per cent, as the government of the time saw this as a critical weapon in combating inflation, which was steadily rising at the time. It did have the effect of reducing inflation, although critics noted its negative impact on UK manufacturing exports. Interest rates began to rise again towards the end of the 1980s, partly under the pressure of house price rises. Interest rates had gone from 17% in 1979 down to 9% in 1982, and were back to 14.88% in October 1989.

    September 1992

    Known as "Black Wednesday", the UK withdrew from the European Exchange Rate Mechanism on 16th September 1992. This meant that the Bank of England base rate interest sat at 12%, up from 10%. This was at 10.30am. John Major, the prime minister, promised to raise the rate even further to 15%. This was due to the encouragement of speculators to buy Sterling. This did not happen, with the government reducing interest rates back to 10%

    Tony Blair

    May 1997 shone a light on Labour's Tony Blair coming into administration, and Chancellor Gordon Brown accompanied him. Together, they handed control of the setting of the base interest rate back to the independent Bank of England.

    2003 – 2007

    During these four years, the interest rates rose significantly to curb an over-inflating economy. In July 2003, the interest rates stood at 3.5%, up to 5.75% by July 2007.

    2007 – 2018

    The global financial crisis of 2008 has kept rates consistently under 6%, with the base rate falling to the lowest level of 300 years. They sat at the earlier mentioned 5.75% in July 2007 before falling dramatically to just 0.5% by March 2009. This fell again in August 2016 to 0.25%, which was a benefit to all homebuyers. The interest rate rose just slightly back to 0.5% by November 2017 and then increased again to 0.75% in August 2018.

    2020

    Following the global pandemic of the Coronavirus (COVID-19) the Bank of England have reduced the base rate to 0.10% a historic low.

    New home buyers who have borrowed mortgages at a fixed-rate have enjoyed interest rates and mortgage payments at remarkable and historic lows.

    2021

    Inflation and the cost of living surged by 5.1% in the 12 months to November, up from 4.2% the month before, and its highest level since September 2011. This pushed the policy makers at the Bank of England to raise rates for the first time in 3 years. The Monetary Policy Committee voted 8-1 in favour of the increase to 0.25%.

    2022

    Trying to deal with rampant inflation, the Bank of England voted 5-4, to increase the base rate to 0.5% in February. This is the first back-to-back rate rise since 2004, when Tony Blair was Prime Minister.

    Interest rates have increased for the third time in four months as the Bank of England tries to calm the rise in the cost of living. The rise to 0.75% means interest rates are now at their highest level since March 2020, when the Covid-19 pandemic started.

    In May, Interest rates rose to 1%, the fourth consecutive increase since December. Interest rates have now risen to the highest level since 2009 as the Bank of England tries to stem the pace of rising prices.

    In June, with inflation currently running at a 40-year high, Interest rates were increased to 1.25%, the fifth consecutive rise since December 2021, putting them at the highest level in 13 years.

    In August The Bank of England raised interest rates by 0.5% to 1.75%, the biggest jump in 27 years.

    September

    The Bank of England's monetary policy committee voted by 5 to 4 to raise the base rate by half a percentage point. It takes the UK interest rate to 2.25% – the highest level since November 2008, when the banking system faced collapse.

    November

    The monetary policy committee voted by 7 to 2 to hike the base rate by 0.75%, the biggest single rise in the cost of borrowing since 1989. It takes the UK interest rate to 3.00%.

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17. 

    @stephfoxwell4620

    January 1, 2024 at 7:22 am

    Oh the shame Suren.
    The BBC Economics Chief.
    Please explain why base rate rose 0.75% but mortgages rates fell by 0.9%.
    The spread went from 3.65 above base to 2 above base.
    We are being taken for a ride.

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18. 

    @bachiltonsbattlegrounds3702

    January 1, 2024 at 7:22 am

    Sounds good

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19. 

    @ruthcollins2841

    January 1, 2024 at 7:22 am

    The Governor of the BoE is at fault too. Andrew Bailey should be sacked from his job as being utterly incompetent in watching the signs that all saw of increased inflation and NOT putting up the interest rates 3 years ago! Snowflakes have lived in cloud Cuckooland for too many years. I have no sympathy as I survived the 1990s farce as caused by Geoffrey Howe joining the ERM that led to years of recession/ stagnation and interest rates of 15.5%!

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20. 

    @MrShuttz

    January 1, 2024 at 7:22 am

    I'm a saver, this doesn't sound too bad to me and lots of cheap house's hopefully

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21. 

    @englishtothebone

    January 1, 2024 at 7:22 am

    I now how to save 5 billion a year send the migrants back to where they come from this government is so out of touch with what the people of Britain want

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22. 

    @jonniea6601

    January 1, 2024 at 7:22 am

    Interest rates were 17% in 1979 dropping to 9% in 1982 with it back to 14.88% in October 1989. It was never sustainable to have interest at 0.1% for months and years on end. The outrage is now all from people that borrowed massively thinking the rates would stay low forever, did nobody consider when borrowing if they could afford their repayments when the rates finally went back up?

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23. 

    @rockypoonny243

    January 1, 2024 at 7:22 am

    He said that" mostly inflation is driven by external grobal problems" then why bother raise the rates?

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24. 

    @kevingrant7098

    January 1, 2024 at 7:22 am

    Peoples mortgages have gone up by hundreds of pounds a month just because Liz trust delivered her Brexit dream

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25. 

    @potnoogle5780

    January 1, 2024 at 7:22 am

    Notice how sunaks disastrous furlough scheme and business handouts that were open to abuse to the tune of billions are never mentioned as a cause

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26. 

    @brianmurphy1757

    January 1, 2024 at 7:22 am

    I don’t know why anybody is surprised we all kept voting for profligate politicians of all colours for decades who spent borrowed printed and borrowed printed and spent some more but because they promised jam today and jam tomorrow we looked the other way .I hope we all enjoyed the party as the hangover is going to be long and difficult.Question is will we vote for the next political party that promises to make it all better ?

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27. 

    @alexandraathay

    January 1, 2024 at 7:22 am

    All planned every 10 years…why does nobody see this!?
    One Conservative MP before the plandemic said "they've had it too good for too long"
    You WON'T be going back to pre-scamdemic times!! They're coming for YOUR hard-earned money. Refuse your taxes!!! Rich getting wealthier – YOU are getting poorer. When are the PEOPLE going to understand this!?

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