Expert tips dramatic interest rates cut to 2.75% driven by unemployment

Interest rates could be slashed to 2.75 per cent by the end of summer, driven by rising unemployment, a finance expert has predicted.

Four cuts to interest rates last year brought the Bank of England’s (BoE) base rate down to 3.75 per cent, but Bill Papadakis, of Swiss lender Lombard Odier, believes the Monetary Policy Committee (MPC) will go much further this year.