Bank of England to make interest rates announcement this month - what to expect

The Bank of England is getting ready to announce the results of its review of the Base Rate in the coming weeks.

Any changes to the Bank's interest rate could have a major effect on people's personal finances. This is because the Base Rate is often used as a reference for how much you could be charged on paying back loans, mortgages, and savings accounts.

While most of the past year had seen a consistent rise in interest rates, this may soon change according to some insiders. In February, the Bank decided to increase the Base rate to 4 per cent - resulting in a rise of 0.5 per cent.

Read more: The Bank's interest rates have a major influence on other rates all across the UK and could directly affect people's finances

Here's everything you need to know about the upcoming Bank of England announcement which could have a direct effect on the economy...

The Bank of England reviews the base rate eight times a year. It is understood that the next announcement from these meetings will be made public on Thursday, March 23, 2023.

The BoE raises interest rates to ensure that inflation is brought down. The Bank's Base Rate is factored by the country's economical situation and it is up to the Bank to decide what will bring down the rate of inflation over the next few years.

However, the Bank cannot guarantee how high the Bank Rate will go. Similarly, it is hard for economists to predict how high it will go on March 23, but they can make an educated guess.

While it's impossible to say for certain, early indications from insiders at the Bank of England show a positive outlook for March's Base Rate announcement. In February, the Base rate rose to 4 per cent while last December it rose to 3.5 per cent.

Prior to this, on November 4,