Following the Bank of England’s decision to hold rates at 5.25% Nick Leeming, Chairman of Jackson-Stops, comments:

“The market will take some clarity and comfort from the Bank of England’s decision to hold the base rate at 5.25% today. While international events have added to already challenging conditions and the curtain has firmly fallen on the era of cheap borrowing, monetary policy will not be determined in the long-term by short-term pressures, and quite rightly so.

“For the property market, holding rates steady provides certainty for buyers who remain committed to their property search. The reality is that, while some buyers who wanted to move but didn’t need to will take a step back, house-hunters who need to move are still showing a commitment to go ahead with planned purchases. Persistent demand is why we saw UK house prices rise in October, underpinned by a dearth of supply on the commuter belt and UK coastline.

“This is the final time the Monetary Policy Committee will meet before the Chancellor’s Autumn Statement, when we hope to hear more about the Government’s plans for the housing market including possible policy changes and tax cuts.”