{"id":50307,"date":"2025-08-07T11:56:13","date_gmt":"2025-08-07T11:56:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/50307\/"},"modified":"2025-08-07T11:56:13","modified_gmt":"2025-08-07T11:56:13","slug":"bank-of-england-cuts-interest-rates-to-4-live-updates","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/50307\/","title":{"rendered":"Bank of England cuts interest rates to 4% – live updates"},"content":{"rendered":"

What does the cut mean for me?published at 12:06 British Summer Time<\/p>\n

12:06 BST<\/p>\n

\"\"Michael Race
Business and economics reporter<\/p>\n

It’s the question we all ask, but the answers depend a lot on your individual circumstances.<\/p>\n

Broadly
\nspeaking, borrowing money now will be slightly cheaper and returns on savings
\nwill not be as high.<\/p>\n

What about those who have a mortgage?<\/p>\n

Mortgage rates are often one of the first things a
\nlot of people mention of when interest rates are decided, but to put it into
\ncontext, only a third of people have a mortgage. <\/p>\n

And the vast majority of mortgage holders are on fixed deals,
\nso there\u2019s no change for them.<\/p>\n

Those looking to buy a home or coming to the end of a fixed
\ndeal will likely be watching today\u2019s news closely, but given the markets
\nexpected a cut today, the reductions are typically priced in to fixed deals on
\noffer already.<\/p>\n

People with tracker mortgages, which are loans that rack the
\nBank\u2019s base rate, could see an immediate reduction on monthly repayments. There
\nabout 600,000 people who have one.<\/p>\n

For example, the cut in rates means repayments on an average
\nstandard variable rate mortgage of \u00a3250,000 over 25 years will fall by \u00a340 per
\nmonth, according to financial information company Moneyfacts.<\/p>\n

The impact on savings<\/p>\n

When it comes to impact on savings, today\u2019s decision will
\nspell \u201cfurther misery\u201d, according to finance expert at Moneyfacts, Rachel Springall.<\/p>\n

Average rates across easy access and notice accounts have
\nbeen falling since the start of August 2024.<\/p>\n

The financial experts suggest shopping around for the best
\ndeal. \u201cSwitching savings accounts must become a regular habit to
\nensure savers are not getting a paltry rate,\u201d adds Springall.<\/p>\n","protected":false},"excerpt":{"rendered":"What does the cut mean for me?published at 12:06 British Summer Time 12:06 BST Michael RaceBusiness and economics…\n","protected":false},"author":2,"featured_media":50308,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[64,63,99,164],"class_list":["post-50307","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-au","tag-australia","tag-business","tag-economy"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/50307","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=50307"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/50307\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/50308"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=50307"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=50307"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=50307"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}