In response to concerns over the Coronavirus, the Bank of England cut interest rates to .25% – down from .75% on Wednesday. A move had been expected but the decision to cut a full half of one percent was a surprise and it takes interest rates back to the historic lows that followed the announcement of 2016’s referendum result when Sterling plunged.
While the circumstances surrounding the cut are troubling, it could provide a further boost to the UK’s housing market and be good news for landlords and homeowners. Since the referendum the UK’s property market has been fairly flat with traditionally strong areas such as London having seen marked falls. 2019 has seen renewed growth and this could provide a further stimulus. It’s also good news for small businesses who will now be able to borrow to invest, something else that has been lacking since 2016 according to the FT.
If you’d like any help protecting your property – whether you’re a landlord or a private landlord – or your business, then please get in touch with your local Coversure office today. They will be happy to give you all the help you need to protect your property assets.