Bank of England interest rates 'helping landlords'

Posted: 17 Aug 2009 10:05:56 GMT

The low Bank of England interest rates have helped landlords in the UK, according to the National Landlords Association.

A statement from the group's public affairs officer Vincenzo Rampulla suggested that no increase in property possessions has been recorded in the last six months, while arrears are down 17 per cent - partly due to the base rate being maintained at 0.5 per cent.

Since March, the Bank's monetary policy committee has kept the cost of borrowing at this record low level.

Mr Rampulla indicated that more still needs to be done to help landlords and the property investment market as a whole because rent arrears may still be imminent for a number of buy-to-let landlords due to rising unemployment.

"What is still clear is that the lack of available credit continues to stifle market growth and, therefore, reduce available housing options," he claimed, before calling on lenders to do what they can to increase the flow of credit.



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