View more on these topics

BoE hints at limited interest rate rise

The Bank of England has indicated that interest rates do not need to rise significantly further in order to get inflation back inline with its 2% target.

In its inflation report for November, the BoE predicted that although inflation is likely to continue to rise before the end of the year, the first half of 2007 will see in fall back into target because of the recent decrease in oil prices.

It is largely predicted that the BoE will make another 25 basis point rise to interest rates in February next year, following the rise to 5% in November.

However, the report suggests that inflation could be pushed down to 2% if interest rates were at 5.1% in early 2007 or 5.2% later in the year.

Mervyn King, governor of the BoE, says the report paints a picture of “inflation rising further above target in the near term before falling back to target over the forecast period”.
However, he warns that its Monetary Policy Committee would be ready to take action if inflation showed signs of volatility.


Link Lending goes for Phoebus

Bridging lender Link Lending has chosen Phoebus Software to supply its loan origination and servicing platform. Phoebus has produced a bespoke version of its software for Link’s bridging loan process and further developments including online case tracking, decisions in principle and Key Fact Illustrations, are in the pipeline.

Media is looking for bad news in the property market

From Michael Curran We all know how attached we Britons are to home ownership and also how press and television companies love to produce copy and programmes regarding the joys and pitfalls of the one financial and lifestyle aspiration we all share. But what is beginning to worry me is the switch in the national […]

TMO chosen as sole packager

The Mortgage Alliance has chosen The Mortgage Operation to be its sole packager.

Stonehaven to join SHIP

Safe Home Income Plans, the UK equity release industry body has welcomed Stonehaven Equity Release to its group.SHIP represents over 90% of the equity release sector and enforces code of practice and professional rules of conduct bind all of its members. All providers who apply to join SHIP must have products and processes that comply […]


News and expert analysis straight to your inbox

Sign up