{"id":117134,"title":"The Bank of England is expected to lower interest rates following a 0.2% growth in the UK","publisher":"Share Talk","author":"sharetalk","published":"2024-10-11T06:59:35+00:00","modified":"2024-10-11T06:59:35+00:00","canonical_url":"https://www.share-talk.com/the-bank-of-england-is-expected-to-lower-interest-rates-following-a-0-2-growth-in-the-uk/","markdown_url":"https://www.share-talk.com/the-bank-of-england-is-expected-to-lower-interest-rates-following-a-0-2-growth-in-the-uk.md","json_url":"https://www.share-talk.com/the-bank-of-england-is-expected-to-lower-interest-rates-following-a-0-2-growth-in-the-uk.json","category":"B2B","categories":["B2B","Blogs","Business & Support Services","Technology","Technology, Media & Telecoms"],"tags":["Bank of England","BoE","central bank digital currency","Conservative","Digital Currency","digital pound","Harriett Baldwin","HM Treasury","Select Committee"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2024/02/dreamstime_s_15957678-1.jpg?fit=800%2C531&ssl=1","format":"news","language":"en-GB","content":"Traders are holding firm on their expectations that the Bank of England will cut interest rates next month.\n\nMoney markets suggest there is a 93% probability that rates will be reduced from 5% to 4.75% in November, following official data showing the UK economy grew by 0.2% in August.\n\nJoe Nellis, economic adviser at MHA, commented:\n\n“While the modest GDP growth reported this morning will be welcomed by both the Government and businesses, it reflects an economy that has been close to stagnation since July.\n\nThe cautious and, at times, negative messaging from the Government, combined with uncertainty surrounding the upcoming Budget, has dampened corporate investment and household spending.\n\nAdditionally, confidence in the UK economy has been further weakened by ongoing geopolitical tensions, particularly recent escalations in the Middle East, the extended delay in the government’s Budget announcement, and poor weather impacting economic activity. These factors have collectively suppressed the consumer confidence needed to drive growth.\n\nThe Government will be hoping that their much-anticipated Budget and a potential interest rate cut by the Bank of England next month will help create a more favorable environment for investment and stimulate economic recovery.”"}