The Bank of England holds interest rates for a fifth consecutive time: What this means for buyers.

The Bank of England has held the interest rate at 3.75% for the fifth consecutive time, in a widely expected move. Six policymakers voted to hold, while three voted for a rise, a slight increase on the previous meeting in the number pushing for tighter policy.

The Bank has said it stands ready to raise rates if needed to account for the situation in the Middle East, which continues to affect energy costs and how long prices remain elevated.

The Bank's governor, Andrew Bailey, said:

"However the conflict unfolds, our job is to make sure any increase in inflation is temporary and that it comes back to our 2% target."

The next meeting is scheduled for 17 September.

Our Mortgage and Protection Director, Keith Ahmed, said:

"The Bank of England's decision to hold rates at 3.75% won't come as a surprise to most in the market. With inflation at 2.6% and three MPC members pushing for a hike, there's clearly a debate happening behind closed doors about which way rates go next.

"For anyone with a mortgage decision to make, it's a reminder that the picture can shift quickly, so it's worth keeping a close eye on how lenders respond over the coming weeks."

To get tailored advice about your mortgage, contact Hello Mortgage today!

Tel: 0800 292 2557Email: hello@hellomortgage.co.uk