Thursday, 6 November 2008
BOE Interest rate cut on Glenrothes by-election polling day.
The headlines are saying UK interest rates slashed to 3%. This is without doubt (if the banks pass the cuts on) good news for many of us with variable mortgages, but the timing is just a little suspect. Why today of all days? This cut has been on the books for a couple of weeks, but it happens to be announced the same day that Labour are desperately trying to hold onto what should be their safe seat in Glenrothes. The question has to be asked - did the government have any influence over the supposedly "independent" Bank of England's decision?