Bank of England Announce Emergency Cut to Interest Rates

The Bank of England has announced an emergency cut to interest rates in an attempt to aid the economy during the Corona virus outbreak.

Interest rates have dropped from 0.75% to 0.25%, which is the lowest level in history. This will immediately reduce mortgage bills for a large number of homeowners in the United Kingdom.

Policymakers have also announced a new 100-billion-pound scheme, with the aim to help ensure households and businesses see the benefits of these lower interest rates. Other changes in policy are due to free up an additional 190 billion pounds for banks to lend.

Not much will change for those who save, who have not seen high interest returns for the past few years.

The Bank of England and Treasury have agreed that these measures are temporary.