The Bank of England fired its big bazooka today with a 50bps cut to rates – this is the ‘whatever it takes’ moment. The move takes the Bank base rate back to its all-tome low at 0.25 per cent. The rate cut has come alongside a new term funding scheme for SMEs and reduction of banks’ capital buffers that the BoE reckons will be worth £290bn in extra funding. The key question is whether banks will simply lend more?
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