Technology

Posted on February 8, 2019 by staff

Tandem CEO calls for interest rate cut

Technology

The CEO of challenger bank Tandem has called for a cut in interest rates to encourage economic growth.

Ricky Knox suggested news that the Bank of England will keep the base rate unchanged at 0.75 per cent would do little to boost a UK economy stifled by Brexit uncertainty.

He said that whilst rates remain unchanged and growth is lagging, customers are encouraged to lock away money in competitive savings products.

“Irrespective of whether we have a no-deal Brexit, the UK economy is slowing – just look at the problems with British car manufacturing,” he said.

“Consumers and investors are both uncertain about the British economy. With a ‘no-deal’ still on the table it’s unlikely that this feeling will go away anytime soon.

“The Bank of England continues to warn about the adverse effects of potential Brexit scenarios and I would advocate a rate cut. It should cut the interest rate to prepare the economy for a post-Brexit world.

“The economy needs a boost from lower interest rates, but in the meantime savers could look to capitalise on the current rates on offer from banks.”