“The highly expected decision of the Bank of England to raise interest rates from their record low of 0.25% to 0.5% is likely to have only a small impact on consumers and affect car buyers only marginally”, said Sue Robinson, Director of the National Franchised Dealers Association (NFDA) which represents franchised car and commercial vehicle retailers across the UK.
The Bank of England (BoE) has announced today the decision to raise interest rates from their record low of 0.25% to 0.5%, it is the first rise in more than a decade.
Last week, official figures from the Office for National Statistics (ONS) showed that UK Gross Domestic product (GDP) grew by 0.4 per cent in the third quarter of 2017. This was stronger than the 0.3 per cent growth in the second quarter but below the 0.6 per cent growth in the EU.
Robinson continued, “Interest rates remain incredibly low and, combined with record low unemployment rates, we hope will continue to support consumer confidence.
“It is important that Government monitors closely the UK economy as we undergo a phase of political and economic uncertainty.”