Mark Carney, the Head of the Central Bank of Great Britain, made a speech in the Parliament today. He stated that the Central Bank will act promptly and take all necessary measures that may be required in connection with the negotiations that take place with Brussels on Brexit.
Mark Carney admits that the decision to raise the base bet may be made earlier than previously expected. He expects the rate to be raised more than three times in the next few years. However, the process of increasing it will be gradual. The dynamics of the rate will mainly depend on the UK economic development statistics.
CB Chief Economist Andy Haldane supported the position of Mark Carney. In his report, he noted that he plans to vote to raise the interest rate. But this will happen provided that the GDP growth rate does not fall below the 2017 level.
According to the results of the Bloomberg survey, about fifty percent of analysts expect that the Bank of England may decide to raise the base rate in May. The ten-year period of stable interest rate in the country ended in November 2017. Then the base rate was increased to 0.5 percent.