Bank 'optimistic' as it edges closer to summer cut

Key Facts

• The nine-strong Monetary Policy Committee, which votes on rates, appeared to be edging closer towards a cut with two voting for reducing rates and the remaining seven for hold.
• The Bank was more positive on the prospects for the UK economy in its latest forecast, predicting * Inflation is forecast to fall to the Bank's 2% target in the coming months and to 1.9% in 2026.
• • Economic growth of 0.4% for the first three months of 2024 and 0.2% from April to June 'IT'S BEEN SCARY WAITING FOR RATES TO GO DOWN' Paul Day, 62, from Felixstowe, says his mortgage is set to go up by £225 a month when his five-year fixed deal expires at the end of May.
• The Bank started raising rates in December 2021 and has kept interest rates at 5.25% since last summer in an attempt to slow the pace at which consumer prices have been rising - and to ease the cost of living.

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