In October 2022 the CPI measure of inflation climbed as high as 11.1%, and a year later fell to 4.6%.īut is that enough to see rates fall in the immediate term? Bank of England governor Andrew Bailey doesn’t think so. The Bank of England’s recent decisions not keep the base interest rate on hold have been in part due to inflation plummeting in the past year.
But interest rates – and therefore mortgage and savings rates – remain historically high. The Bank of England chose to hold the base interest rate at 5.25% in November for the second time in a row following 14 consecutive rate increases.
