Prime Minister Gordon Brown on Bank of England's interest rate cut
Dec 05, 2008 | Comments 0
Gordon Brown the UK Prime Minister urged banks to pass on the full one percent cut the Bank of England made yesterday in a bid to help homeowners survive the recession.
The Bank of England yesterday cut the base interest rate to the lowest level since 195. The now has the task of insuring that the banks pass on the interest rate cut to its customers.
The Prime Minister also said that he will be taking steps to reduce the Libor rate (Interbank Offered Rate) this is the rate that banks use to lend to each other.
.In an interview with GMTV he stated “We are taking action to try and get that (Libor) down. Banks really should pass on the interest rate cuts”.
He then talked about the last cut and how it took the government to intervene and talk with the banks before they passed on the full rate, he then said they would be talking to them again.
The Central bank cut its interest rate by 1 percent yesterday.
Source: Reuters The Old Curiosity Shop movies
Filed Under: Interest Rates