Bank rates increased to 4.25%

23 March 2023

With talk of the UK’s economic outlook starting to recover, yesterday’s (22 March 2023) announcement of inflation starting to rise again came as a slight shock.

It is no surprise now then, that the Bank of England’s Monetary Policy Committee has opted to increased bank rates by a further 0.25 percentage points, up to 4.25%.

The committee voted seven to two in favour if the increase, with the minority preferring to leave the rate at 4%. The next announcement will take place on 11 May 2023.

Payroll professionals should be aware of the interest rates charged by HMRC in relation to late payment as these will be going up in line with the increase.


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