Bank of England interest rate cut today?
 

Everyone is calling for it to 'save the economy'

On the basis that all the banks/building societies are pleading poverty and probably won't pass the benefit on (unless where obliged) is it really going to make any difference whatsoever even if they do cut it?

Anyway,think the doommongers will finally have their day in 2008.I've worried about it for a while but I think Gordons in deep doo doo

Bank of England should leave it 'til after Christmas - the last thing the economy needs is a pep up just before XMas.

Let all the Labour voting sub-prime dildos have a hard christmas - should make them think a bit next time before putting their x next to the red rose :)

It's not just Gordon, it'll be all of us one way or another. When the sub-primes stop spending, the rest of the market will suffer eventually.

They probably will cut, but I'm not sure that it is the right thing to do. The base rate is usually used to control LIBOR which traditionally follows base by a margin of around 0.1-0.2% either side. In the last 5 months, LIBOR has 'let go' of the base rate, so there is no reason to assume that a BoE cut will have any influence on LIBOR. In fact, if the base rate is cut, savings rates will probably be cut immediately, making savings less attractive and further removing liquidity from the lending sector. If base rates aren't cut, there is nothing to trigger a drop in LIBOR, so the current imbalance will remain. Basically looks like we are going to be foobarred wither way. The reactions to todays decision will just give us an understanding of how much pain there will be and how long we will be feeling it for

Shame its taken 10yrs for this to be realised:Whatever_

Either way the economy has been fooked for some time and it's only now starting to become very visible to the masses.

You cant borrow and spunk as much money as Gordon has without there being some serious consequences;)

on the plus side last time it went tits up bankruptcy was a serious issue. Its a piece of piss now to go bankrupt and then start again .

As this post doesn't contain the words Labour, Subprime, Gordon Brown, or House Price Crash, please can it be deleted as irrelevant to the thread?

Cut by 0.25%

dl

spend spend, borrow borrow!!!

Oh dear

****e, just as I have a lot of savings for once....


R

Could this be in an effort to persuade more people to run up even bigger debts on their credit cards to make the economy look strong do you think?

Les

More likely to offset a possible house price crash looming for late Spring...


R

1.3 trillion pounds worth of consumer debt, the borrowing has to stop at some point.