The UK’s economy had a higher than expected growth in the last three months from July to September; thus increasing the chances of a rise in interest rates in November respectively.
GDP (gross domestic product) for the quarter rose by 0.4%, compared with 0.3% in each of 2017’s first two quarters, according to latest Office for National Statistics figures. Also, both services and manufacturing industries grew during this period, and industrial production rose in July and August but construction output fell.
The financial markets are now indicating an 84% probability that rates will rise from their current record low of 0.25% when the Bank of England’s Monetary Policy Committee (MPC) meets on 2 November.
Bank governor Mark Carney told the BBC last month that it was time for it to “ease its foot off the accelerator.“