LiveMore comment on the BoE’s base rate cut

01 August 2024

Please find below, comment on the BoE base rate announcement from Simon Webb at LiveMore, the mortgage lender for the 50-90+ age group.

Simon Webb, managing director of capital markets and finance at LiveMore, commented:

“Today's decision by the Bank of England to reduce the base rate to 5% marks a significant moment for the financial markets and the broader economy. This move, while somewhat anticipated given the recent economic indicators, is a clear signal of the Bank's response to emerging economic challenges and their commitment to fostering a more stable financial environment.

“We welcome this decision. The reduction is poised to bring relief to older borrowers, potentially lowering the cost of mortgages and other loans, which can stimulate spending and investment. This development offers an opportunity to reassess their financial strategies and explore the many options available to older borrowers which are often overlooked.

“However, it's essential to approach this change with a balanced perspective. While lower rates can boost economic activity, they also require vigilance in managing risks associated with borrowing and lending.”