Phoebus comment on CPI figures

17 December 2025

Phoebus Software’s chief sales and marketing officer, Richard Pike:

“The latest CPI figures are welcome news for squeezed households with price pressures slowly easing and increase the likelihood of a base rate cut at tomorrow’s MPC meeting. We’ve seen markets pricing this in over the past few weeks with gradual reductions in fixed mortgage rates, and I’d be surprised if we don’t see a quarter per cent reduction.

“Inflation appears to be on a downward trajectory, although it still has some way to go to meet the Bank of England’s two per cent target. This is improving sentiment in the market, and we saw this reflected in the most recent lending figures from the Bank of England. The outlook looks positive for the mortgage market going into 2026, as long as growth strengthens and the job market starts to pick up.”