Decision on interest rates 'fails to help property market'
Those struggling to get themselves onto the UK's property ladder have not been helped by the latest base rate decision, an industry expert has claimed.
According to Duncan Samuel, managing director of online property conveyancers Convex, the Bank needs to take action soon to improve conditions for consumers facing difficulty in obtaining a mortgage.
Despite calls for further cuts, the Bank's Monetary Policy Committee (MPC) voted yesterday (Thursday, May 8th) to maintain the base rate at five per cent
Mr Samuel commented: "The lack of activity from lenders is undoubtedly having an adverse effect, so it is clear that very soon the Bank of England will need to do something to bring the Libor rate down to free up mortgage funds."
He added that the MPC's announcement came as "disappointing news for a property market already in danger of stalling".
The last cut to interest rates was made in April, when the base rate was reduced from 5.25 per cent to five per cent.
UK Property News posted on 09/05/2008 13:12:09
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