The Bank of England has today increased interest rates to its highest level for 13 years. The move has seen the rate increased by a further 0.25 % points and is the latest step in its effort to tackle UK inflation rates – with many predicting it could reach 10% late this year.
The move took the interest rate to a 13-year high of 1.25%.
Mortgage holders, house hunters and savers will be affected by the Bank of England’s decision to increase the rate to 1.25%. If increases continue then homeowners could find a huge difference between fixing in a long term deal now compared with the end of the year.