Savers could have to wait more than a year for a rise in base rate as the chance of a rise in the rate recedes.
At the October meeting of the Bank of England Monetary Policy committee, Base rate was left unaffected at 0.5pc where due to stuck since March 2009. While only ever before an increase had been expected early next year, Experts now say that an increase may not happen until 2016.
The change of heart which will disappoint savers who have been hit by low interest rates for such a long time is because the Bank of England is looking for economic growth in the UK to be on a sure footing before making a rate rise.
Howard Archer, Chief UK eu economist at IHS Global Insight, Told the BBC not wearing running shoes “Would now be a surprise if the Bank of England raised costs until well into 2015, And benjamin Brettell, Senior economist at bankruptcy advice firm Hargreaves Lansdown, announced: “Given the outlook for inflation and wages and the hazards posed by the eurozone, I fully expect prices of interest to remain on hold until the summer of 2015 and probably even longer.