UK economy could shrink as interest rates rise to 1%

The Bank of England has raised interest rates to their highest level in 13 years amid the cost of living crisis.

The bank announced on Thursday (5 May) that rates have increased from 0.75 per cent to 1 per cent, a level not seen since 2009 in the aftermath of the financial crash.

It is the fourth time in a row that the bank's Monetary Policy Committee has voted for an increase.

Click here to sign up to our newsletters.

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting