Base rate summer hold is a welcome dose of stability

Although June’s CPI fell to a better than expected 2.6%, a new government finding its feet and the situation in the Middle East becoming increasingly uncertain, mean that a hold on Thursday’s base rate decision is a welcome dose of stability. People have had more than enough uncertainty over the past year, and even a temporary pause eases the pressure a little.

A summer hold also gives savers a genuine window to get their house in order. It’s worth checking whether you’re still getting competitive rates, whether any fixed-term accounts are approaching maturity, and whether your savings are spread sensibly, enough to avoid unnecessary risk, but flexibly enough that you’re not missing out on the best rates available.

However, there’s growing speculation that a rate hike could be on the cards come September. A 0.25% rise would take the base rate back to 4%, right where it stood 12 months ago, and a world away from where many expected it to be by now.