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Product category: Consumer issues
News Release from: Defaqto | Subject: Base rate change
Edited by the Insidemoneytalk Editorial Team on 14 April 2008

Defaqto comments on Base rate change

Following The Monetary Policy Committee's decision to reduce the Bank of England Base rate by 0.25% to 5.00%, Defaqto's Principal Consultant - Banking, David Black comments:

"This 0.25% cut by the Monetary Policy Committee was widely anticipated and comes as no surprise What remains to be seen is how much each individual lender will pass on of this cut to its variable rate borrowers

"Prior to this cut the average Standard Variable Rate was 7.21%.

Last time the base rate was at 5.00% (between 9th November 2006 and 10th January 2007) the average Standard Variable Rate was 6.80%".

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