Some 76% of specialist brokers expect interest rates to remain unchanged after the Bank of England’s (BoE’s) monetary policy meeting, according to Landbay’s research.
The majority of brokers agreed that a rate hold would help balance inflation control and economic growth.
The survey found that 20% of brokers foresaw a rate cut, with 18% predicting a 0.25% drop and a small 2% expecting a 0.50% reduction.
Just 3% predicted a 0.25% increase, reflecting ongoing economic uncertainties despite easing inflation pressures.
Rob Stanton (pictured), sales and distribution director at Landbay, said: “The consensus is clearly towards a hold at 4.5%, but a 25-point cut is not unjustified given GDP growth is limping along and needs support —. Overall, the bank has been painting a pretty bleak stagflationary picture for 2025 and lower interest rates would mean millions of people will see an immediate drop to their mortgage rates.
“While controversial, two members of the MPC, pushed for a 50-point cut last time, so even that isn’t totally outlandish.”
Stanton added: “Should interest rates remain unchanged, which is certainly what we are expecting, it might usher in a period of calm for the buy-to-let sector, which has experienced considerable instability recently with fluctuating borrowing costs and a shifting evolutionary landscape.
“A decision to hold rates steady could provide a stabilising force for landlords and property investors, who rely heavily on predictable financing costs to sustain rental yields.”
