Interest Rates and Credit

Question 1

Bank of England base rate

Answer 1

Currently 1%

- Stayed at 0.1% for nearly 2 yrs during pandemic

Question 2

Mortgage interest rates

Answer 2

Fixed rates: 2.4%

Variable rates: 2.1%

Question 3

Size of quantitative easing

Answer 3

Total worth £895 billion - set to fall

November 2009 - £200 bn
November 2020 - £895 bn

Question 4

House prices

Answer 4

Average house prices rose 10% in 2021

Average = over £270,000 - obviously variations across country

Question 5

Household debt

Answer 5

Now over £2 trillion

Including £220 billion of consumer credit

Question 6

Household Saving Ratio

Answer 6

Rose sharply in 2020 to 25% but now 19%