{"id":106105,"title":"The Bank of England raises interest rate for 10th time in a row","publisher":"Share Talk","author":"sharetalk","published":"2023-02-02T12:17:49+00:00","modified":"2023-02-02T12:20:17+00:00","canonical_url":"https://www.share-talk.com/the-bank-of-england-raises-interest-rate-for-10th-time-in-a-row/","markdown_url":"https://www.share-talk.com/the-bank-of-england-raises-interest-rate-for-10th-time-in-a-row.md","json_url":"https://www.share-talk.com/the-bank-of-england-raises-interest-rate-for-10th-time-in-a-row.json","category":"Blogs","categories":["Blogs","Business & Support Services"],"tags":["Andrew Hauser","Bank of England","Barclays","BoE","borrowers","BRITAIN","CBDC","currencies","Defaqto","Digital","European Union","Inflation","London","mortgage","mortgages","NatWest","Pound","rates","Rishi Sunak","Share Talk","stablecoins","sterling","subprime","TerraUSD","Tether","tracker","TSB","UK"],"featured_image":"https://i0.wp.com/www.share-talk.com/wp-content/uploads/2023/11/Stencil-Google-Chrome-2023-04-19-at-2.47.43-PM.jpeg?fit=1231%2C615&quality=89&ssl=1","format":"news","language":"en-GB","content":"A majority of 7-2 votes in favour of[increasing the Bank Rate by 0.5% to 4%](https://www.share-talk.com/bank-of-england-poised-to-raise-interest-rates-for-10th-time-in-a-row-on-thursday/) by the Monetary Policy Committee.\n\nTwo members, **Swati** **Dhingra** & **Silvana** **Tenreyro**, preferred to keep Bank Rate at 3.5% (they both voted against any change in December).\n\nAs it fights against rising inflation, the Bank of England raised interest rates for its tenth consecutive meeting.\n\nThe Bank’s Monetary Policy Committee increased rates by 50 basis points, to 4pc. The majority of the 7-2 voted in favour of the committee.\n\nhttps://twitter.com/Share_Talk/status/1621117019272740864?s=20\n\nThis puts rates at their highest levels since October 2008, when global financial crises were beginning to grip.\n\nThe committee last met to raise the base rate by half a percentage point to 3.5pc. Policymakers were divided on how much to increase interest rates.\n\nAndrew Bailey, Bank of England Governor, has come under fire for allowing inflation in October to hit a 41-year high of 11.1pc. This is more than five times higher than the target of 2pc.\n\nSince then, inflation has fallen for two consecutive months and now stands at 10.5pc\n\nAccording to the Bank of England, they believe that prices will rise less than expected.\n\nIt stated in its Monetary Strategy Summary for February:\n\n> Although global consumer price inflation is still high, it appears to have reached its peak in many advanced economies, including the United Kingdom.\n>\n> Recently, wholesale gas prices fell and global supply chain disruptions seem to have eased due to a slower global demand.\n>\n> Although central banks continue to tighten monetary policies, market pricing suggests that policy rates will be reduced in the future by many.\n\nOn Wednesday, the US Federal Reserve raised rates by 0.25pc to 4.5 to 4.75pc. However, Fed Chairman Jerome Powell stated that there was still work to be done to get inflation back to 2pc.\n\nThe European Central Bank will likely increase its deposit rate by 50 basis points to 2.5pc."}