01 August 2024
Bira has welcomed the Bank of England's decision to cut interest interest rates from 5.25% to 5%, marking the first reduction since March 2020.
Bira has said this move is a positive step for the retail sector and the wider economy.
Andrew Goodacre, CEO of Bira said: "We have been calling for a cut in interest rates for many months and so we are delighted that the Bank of England has finally decided to listen. Interest rates climbed too high too quickly, and whilst we can see that not all inflationary pressures have eased, the cut is needed to bolster consumer confidence, which in turn should boost consumer spending."
He added: "The cut will be seen as an important staging post as the economy starts to turn the corner on years of inflationary shocks. Businesses can start to anticipate cheaper borrowing and investment funding."
The decision comes after the Bank of England's rate-setting committee voted by a majority of five to four to reduce the rate. This base rate is closely followed as it heavily influences the rates set by High Street banks and money lenders.
Bira believes this rate cut will provide much-needed relief to independent retailers and consumers alike, potentially stimulating spending and investment in the retail sector.
Find out more about Bira's policies and campaigns.
Got something to say on this story? Scroll down and leave a comment.
Related News
All News-
Small Business Strategy Inquiry 2025
The House of Commons Business and Trade Committee has asked Bira to help them reach out to small business retailers across the country, for their quick input on the issues most important to them
-
Bira welcomes spending review commitments to high street safety and community investment
Bira calls for focus on high street regeneration as Chancellor announces three-year budget plans, including increased funding for policing.
-
Indie Retail is at the Heart of High Street Revival
Independent stores are helping to redefine the high street experience, offering unique products and creating community hubs that bring people together and drive local vibrancy.
-
Bira to respond to Low Pay Commission’s National Living Wage consultation for 2026
Bira has confirmed it will be responding to the Low Pay Commission’s (LPC) newly launched consultation on the National Living and Minimum Wage rates for 2026.