The cost of borrowing for private landlords and other homeowners will remain at 0.5 per cent in June.

A statement released by the Bank of England's monetary policy committee (MPC) yesterday revealed that there will be no change in the interest rate this month.

Most economists had foreseen this eventuality and many think the base rate will be frozen at 0.5 percentage points for the rest of the year.

Ahead of yesterday's announcement by the MPC, UK economist at Capital Economics Vicky Redwood said it could even be 18 month before the UK has to contend with a different cost of borrowing.

Meanwhile, last week, the marketing director of property website fish4homes said that the low interest rate of the last few months has stopped people being forced into selling their homes.

Lisa Walker said this is exactly the opposite trend to the early 1990s when the base rate moved above 12 per cent.

Written by Claire Doyle

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