Bank fails to ease rate rise fear

City A.M. Reporter
MORE than a third of Britons think interest rates will rise in the next 12 months, a survey showed yesterday, suggesting the Bank of England’s first attempt to ease concern over higher rates ahead has had little effect beyond financial markets.

The survey by financial data company Markit found that 35 per cent of respondents expected the Bank to raise rates in the next year, and 18 per cent thought it would happen in 13 to 24 months’ time.

Only 16 per cent of Britons agreed with financial markets, which are predicting that the central bank will start raising interest rates in two years’ time at the earliest.