Britain ‘already in recession’ says Bank of England as interest rates rise by 0.5%

The UK interest rate is now at its highest level since 2008

Thomas Kingsley
Friday 23 September 2022 09:12 BST
UK ‘in recession’ amid Bank of England interest rates hike

A 0.5 percentage-point rise to interest rates announced on Thursday was smaller than expected – but will nonetheless add nearly £600 to the annual average tracker mortgage and experts are predicting more rises to come.

The Bank of England’s move to deliver 2.25% defied market expectations and came despite the US Federal Reserve announcing its third 0.75-point hike in a row.

It said it now expects a 0.1 per cent fall in GDP over the current quarter, indicating that Britain is in a recession.

Join our commenting forum

Join thought-provoking conversations, follow other Independent readers and see their replies


Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in