The Bank of England has announced it has raised interest rates yet again with the base rate now at 4 percent. The decision was revealed today (February 2) after members of the Monetary Policy Committee met to decide what interest rates should be set at, an event which happens eight times a year.
Today's decision means that it is now the tenth consecutive time that the Bank of England has increased interest rates, with the base rate at just 0.1% just over a year ago. The last announcement back in December 2022 saw the Bank decide to raise the base level to 3.5 per cent, but this has now hiked again by 0.5 percent to 4 percent - which is now a record 14-year high.
After a majority 7-2 vote, the Bank decided to increase interest rates 'to make sure inflation falls and stays low' as they aim to lower inflation to 2 percent - a target set by the government - but the 4 percent base level is likely to cause concern amongst millions of people in the UK.
