Rate rises likely early in 2016

This is according to Hargreaves Lansdown which said that even if the markets are correct on this occasion, the rate rise pencilled in is just 0.25%.

Most analysts are expecting rates to stay the same when the Bank of England’s Monetary Policy Committee meets tomorrow. This is the sixth anniversary of 0.5% interest rates.

Laith Khalaf, senior analyst at Hargreaves Lansdown, said: “While interest rate rises may be on the cards next year, when they arrive they aren’t likely to set the savings world alight. It could yet be many years before we see rates reach their 2008 levels again.

“Of course, without loose monetary policy we would almost certainly have been left in a much sorrier state by the financial crisis. There have been also been beneficiaries of low interest rates, most notably borrowers, who have seen their mortgage payments fall substantially.”