Interest rates are unlikely to rise far or fast even if there is growth after a smooth Brexit, despite concerns about the economy overheating, a Bank of England ratesetter has said.
Growth will improve as business investment picks up once the political uncertainty clears but households need not fear a sharp increase in borrowing costs, according to Michael Saunders, an external member of the monetary policy committee.
“I would expect interest rates will go a bit higher over time, but it won’t be far or fast,” he said.
