Just Mortgages comments on BoE MPC decision

19 June 2025

John Phillips, CEO of Just Mortgages and Spicerhaart, said:

“The decision to hold interest rates is not unexpected and is certainly in line with the bank's careful and gradual approach. Yesterday’s news on inflation wouldn’t have been enough to sway them, especially with current geopolitical tensions and in light of further escalation in the Middle East and the potential ramifications this could have on prices and global trade.

“While the changing narrative around interest rate expectations and the number of cuts isn’t entirely helpful and goes some way to unsettle borrowers, we can take comfort that the consensus is still that interest rates will be cut. While careful and gradual is fine to a point – especially given the bigger picture at play - an economy on life support requires some clear action and hopefully that will mean more than one cut later in the year. It will improve affordability, drive homeownership and deliver economic growth.

“In the meantime, the message to potential borrowers is that right now, lenders are willing to lend, options are available to support all buyers and brokers stand ready to help them navigate the market. We’ve been encouraged by demand across both EA and financial services businesses, but know there are still plenty with the appetite to buy, but just need that extra support.”