Comments: Crunch time for Bank as rate rise looms

Well given that it took two years for MPC to hike rates and given that even the rise before last followed talk of a cut,it remains that the MPC will be very careful in raising rates again.

I personally feel that there should be two more cuts of 25bps in the light of a drop in oil prices.

Mortgage lending is strong because supply considerations in housing, which the government should now address,has created equity for home owners which in the first place should have been resolved by supplying more building land.

We need a government that will look at housing proactively, and the MPC should be least concerned about house price inflation.

Posted by Hitesh Damani at October 4, 2006 02:32 PM