The Bank of England has made an emergency base rate cut of 0.50% to deal with the economic shock caused by the coronavirus outbreak.
This brings the interest rate from 0.75% to 0.25%.
The Bank’s Monetary Policy Committee was due to meet on March 26, but met yesterday at a special meeting to unanimously make the decision.
Tracker and variable mortgage rates may fall as a result, though it’s unclear whether they will all fall by 0.50% owing to the ’emergency’ nature of the cut.
Fixed rates may also see some reductions in the next few weeks.
This is the first cut in the base rate since 2016, when it fell from 0.50% to 0.25%.
BY RYAN BEMBRIDGE
Source: Property Wire