All eyes are on the Bank of England this week as we expect them to increase interest rates this Thursday, from 0.25% to 0.5% due to a large rise in consumer credit but also rising inflation and lower growth, mostly due to Brexit.
It remains a difficult decision for the Bank of England. Any rate increase will have a direct impact on private households but also for businesses. When it comes to mortgages, most providers have already started to raise their rates. On the upside, the increase will benefit the cash market by increasing returns on cash deposits. This will make it even more important to generate additional revenues by identifying the best returns offered by the banks. Akoni can assist businesses with that by providing a platform that scans the market for the best rates and cash can then be continuously allocated in a way that will maximise returns. If you are a business saver looking at term deposits we suggest you open accounts just after the Bank of England announcement. This will ensure returns are maximised, with in some cases doubling the income to your company.
A no rate increase would shock the financial market following the build-up and level of expectations. Akoni is following the developments closely.