All in all, a better week for the market - Comment on the MPC interest rate decision from Adam Oldfield at Phoebus Software

21 September 2023

Adam Oldfield, chief revenue officer at Phoebus Software, says “You have to wonder whether we are sometimes playing a game of ‘follow the leader’, as the MPC’s decision to hold interest rates comes just a day after the Fed made the same decision. That said, it will be music to the ears of mortgage borrowers. There have been many calls in recent months for the Bank of England to take a breath and give the current measures time to take effect. Perhaps they are finally listening.

“No-one expects rates to come down, at least until inflation is closer to the government’s target, but with over 500,000 fixed rate mortgages coming to an end in November, December and January (FCA), this is better news than expected. A period of calm, especially heading into the Christmas period, will be good for overall confidence. Add this to the government’s U-turn on buy-to-let EPC upgrades and, all in all, it’s been a better week for the market. Let’s hope we see inflation continuing its downward trajectory next month.”