Saturday, 30 September 2017

Expects interest rate rise in 'relatively near term', Governor of the Bank of England says



Interest rates could rise in the "relatively near term" the Governor of the Bank of England has told the BBC.

 
In the clearest indication yet that there could be a rate rise as early as November, Mark Carney suggested that it was time for the bank to "ease its foot off the accelerator".


The next opportunity for a change in interest rates is the Bank's monetary policy committee meeting on 2 November.


The governor also warned against "reckless" household borrowing.


He said that while overall lending to UK consumers had come down markedly since the financial crisis, there was a danger from rapid "frothy" growth in some areas of household borrowing.


"What we're worried about is a pocket of risk - a risk in consumer debt, credit card debt, debt for cars, personal loans," he told BBC Radio 4's Today Programme.


He said banks had "not been as disciplined as they should be" in their underwriting standards and pricing of this debt.




BBC    News.