Few were expecting a rate rise in May and the Bank of England was clearly in no mood for surprises this month, keeping the base rate at 0.5%
It was a different story earlier this year, when there were expectations rates would rise to 0.75%. That was before the economic data became more mixed and inflation hit its lowest level in a year, which prompted some pundits to again accuse Mark Carney of being an “unreliable boyfriend” for his mixed messages on the timing of the next rise.
However, the more important point to remember is that a rise is coming and mortgage markets are increasingly pricing this in. We are no longer seeing recor