Today the Central Banks of Europe cut rates, the Bank of England started with what was their biggest ever single rate cut in their history as an independent operation as well as introducing one of the lowest base rates since their inception in 1694. Their reduction of 1.5% or 150 basis points brought their base rate to 3%. The ECB then dropped rates by 0.5% or 50 basis points meaning we now have a new base rate of 3.25%.
The question we have received is ‘will my bank pass on the rate cut?’. In short yes and no, because every bank will differ in what they plan to do. Many will pass on a full rate cut, in particular the banks covered by the Irish banking guarantee will be pressed to pass on the rate cut, others however may not.
Recently Bank of Ireland Read More →