The Latest Breaking News from The Bank of England

Experts warn 1.4m homeowners will see a fifth of their disposable income wiped out by soaring mortgage rates

This morning’s UK inflation data can be described in just two words: truly horrible. With headline inflation stuck at 8.7 per cent and core underlying inflation rising from 6.8 per cent to 7.1 per cent, the Bank of England is facing a huge problem. Most thought the Bank’s key policy…

The rate of inflation stayed flat at 8.7% in May, despite hopes from economists that it would fall and provide some relief for households.

The Bank of England is expected to raise the base rate - which influences interest rates lenders charge for mortgages, loans and other types of credit - again tomorrow in an effort to curb inflation

The Bank is under fresh pressure following new inflation figures this week

Rob Perrins, one of the longest-serving CEOs on the FTSE 100, does not expect house prices to fall

With inflation stuck at 8.7%, economists said a jump straight to 5% interest rates might be needed

Some analysts expect the base rate to rise by 0.25 percentage points to 4.75% with others predicting an even bigger increase to 5% - so how much would your mortgage rise by?

Economy experts had expected inflation to fall last month to 8.4%.