Interest Rates Rise in the UK: Cheapest Merchant Services

The Bank of England (BoE) has recently decided to raise interest rates by 0.25%. Are you a UK business owner interest in the situation? Are you looking for the cheapest merchant services in the UK? This article will help you with all this.

 

UK Interest Rates Rise

The Bank of England has raised the interest rate for the 2ndtime in a decade. The rate has risen by a ¼ of a percentage point. Specifically, it jumped from 0.5% to 0.75%, which has beenthe highest point since March 2009.

 

The BoE uses the base rate change as a tool to control inflation. The base rate rise increases the cost at which private banks borrow from the BoE. As for markets, they’re forecast to remain unaffected in a big way by a 0.25% rate rise as the impact has already been factored into asset prices.

 

The pound’s value is likely to go up, as higher interest rates suggest better returns for people holding that currency. As for businesses, there’re business groups that look askance at the decision that comes ahead of the UK agreeing on a Brexit deal with the European Union.

 

According to the Trades Union Congress, such rise won’t do working people good. The Congress thinks the government should come up with a plan to increase wages and create better quality jobs.

 

Alpesh Paleja, CBI principal economist, thinks that the Monetary Policy Committee (MPC)’s suggestion of further rises over the upcoming few years will be “very slow and limited.”

 

Businesses on the Rates Rise: Cheapest Merchant Services

Are you a merchant doing business in the UK? Are you looking for a reputable payment processor that can help you get the best merchant services for your business? No worries! Just turn to a respectable comparison company in the UK to get the best deal for your business, including the cheapest merchant services.

 

With a reliable merchant account comparison company in the UK, you can enjoy free consultation, reviews of contracts, rates, and fees. Work with a real payment expert that offers the most honest snapshot of the company at the time of writing.

 

According to Tej Parikh, senior economist at the Institute of Directors (IoD),the rise is expected to result in make consumer and business confidence less strong at an already fragile time. Parikh further notes that it’d be better to raise the rates after November meeting, which will allow getting a firmer grasp on the situation associated with Brexit.

 

Mark Carney, the Bank’s governor notes that the MPC would reduce rates if needed.There exist a number of scenarios that can happen with Brexit. However, the interest rates should be at least at these levels in many of those scenarios. Thus, suchdecisionappears to be consistent with that.

 

According to the Federation of Small Businesses (FSB), higher rates will reduce the amount of criticism concerning the price increases. However, even a slight increase in consumer credit and mortgage costs will significantly affect the ability of shoppers to spend on the already struggling high streets.

 

 

Author Bio: Payment industry expert Taylor Cole is a passionate merchant account expert who understands the complicated world of accepting credit and debit cards at your business. His understanding of the industry, including the cheapest merchant services, has helped thousands of business owners save money and time.

 

 

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