28 September 2017: The Bank of England recently announced that higher inflation and the pickup in growth could lead to interest rate rises soon.
Growth speculation has increased the value of the pound against other currencies because a rate rise would make the pound more attractive to investors. Markets which track investors’ expectations estimate that the chances of the rates rising by November is strong.
Interest rates rising will not be good for all, especially those businesses whose cash flow are reliant on loans, overdrafts and bank finance and have not budgeted for increased interest rates in their tightly managed outgoings.
BRI’s team of experts are happy to discuss the impacts this may have on you or your business.