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02 October 2006
A number of economists have suggested that interest rates may rise in October.
The news comes as Reuters published a poll showing economists believe there is a one in four chance of a rise next month.
Previously, most had been predicting that the next rise, following the August increase to 4.75 per cent, would almost certainly come in November.
However the news that the August hike has had no impact on house price inflation may have prompted some to think again.
Figures from the Nationwide Building Society showed a 1.3 per cent rise in house prices during September.
Vicky Redwood of Capital Economics said: "An interest rate rise in October, while possible, is unlikely. But recent data will not have eased the monetary policy committee's concerns about the risk of second round inflation effects."
In their September meeting the monetary policy committee voted unanimously not to raise rates.
If you're concerned about the effect that interest rates may have on your credit commitments order your credit report and find out where you stand financially.
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