The Bank of England has refused to rule out cutting interest rates to below zero to boost the economy, but the move would penalise savers while rewarding homeowners. The Bank’s governor, Andrew Bailey, has confirmed that negative interest rates are under “active review” after being questioned by MPs on Wednesday. Speaking at a hearing with the […]
The average interest rate for two-year and five-year fixed rate mortgages has dropped to the lowest level since records began in 2007. Why are mortgage interest rates dropping? The Bank of England has made two emergency cuts to the base rate (the bank’s set interest rate for lending to other banks) in response to the coronavirus pandemic. These […]
Definitely yes! One big difference between the challenges of 2020 and the economic turbulence of 2008’s credit crunch is that there is no issue with the liquidity for banks and building societies. Expats should review their UK mortgage and potentially save thousands Make no bones about it, 2020 is the year of the expat re-mortgage. […]
In March 2020 the Bank of England made two emergency cuts to the base rate, The cut from 0.25% to 0.1%, made in response to the coronavirus pandemic, means the base rate is at its lowest level in the Bank’s 325-year history. In the immediate aftermath of this reduction, banks and building societies withdrew some of their mortgage products. […]
Expats should take heart The direct and indirect impact of COVID-19 has affected the performance of different sectors and financial markets in different ways. The world’s major indices have suffered considerable losses – recently, it was reported that The Dow Jones Industrial Average crashed by almost 32%. Other financial assets have so far proven resilient, […]
There is no doubt the developments in the expat mortgage market in response to the coronavirus crisis are moving at a frenetic pace. Helping clients is crucial for everyone in the industry currently, keeping on top of all of these updates to help navigate the best options for individuals is very important at this time. […]
Definitely yes! One big difference between the challenges of 2020 and the economic turbulence of 2008’s credit crunch is that there is no issue with the liquidity for banks and building societies. They have the means and the willingness to lend. However, what we are seeing are disparities with how each lender responds to the […]
There is a lot of evidence to suggest interest rates are going to be rising sooner rather than later. Facts are a sizable number of expats have already transferred to a fixed rate mortgage deal; we have seen a significant increase in re-mortgaging since the turn of the year. Base rates may well be on […]
The BoE also confirmed another £200bn of bond buying under the Quantitative Easing programme. It will also be extending the term funding scheme, which encourages banks to pass on the benefits of interest rate cuts to companies and households. A statement from the BoE reads: “At its special meeting on 19 March, the MPC judged […]
The government has confirmed that expats who buy residential property in England and Northern Ireland will be hit with a new 2% stamp duty surcharge from April 1, 2021. Chancellor Rishi Sunak confirmed the measure in his first Budget speech in the role, following much speculation about the policy over recent weeks. Budget documents released […]
