On 17 March 2022, The Bank of England (BoE) raised interest rates by 0.25% to 0.75%. The change in interest rates will affect the other rates charged to consumers and businesses. BoE continues increasing interest rates from December 2021.
The decision was made following US Fed's interest rate increase decision, and with the latest increase, interest rates returned to the pre-COVID level.
Current Economic Outlook
Most analysts describe the UK's economic outlook as weak due to higher taxes, interest rates, and energy prices. That would potentially decrease consumer spending in the next few quarters.
Besides interest rate increase, the budget deficit of the UK is valued at around $419 billion, which is equal to 95% of GDP. A significant part of the deficit is related to spending ...
