UK interest rates: the chickens are coming home
Last week, the Bank of England hiked its
interest rates, yet again, to 5.75%. This
was the fifth rise since August 2005.
And the head of the bank, Mervyn King, said that "further action" on
interest rates could be necessary. Most
observers reckon the interest rate that most borrowing and mortgages are based on
– the bank rate – will go to 6% or more by the end of this year.
