fromLondon Business News | Londonlovesbusiness.com
2 months agoExpert warns Starmer's words won't pay the bills and SMEs need action - London Business News | Londonlovesbusiness.com
The Bank of England's decision to maintain the base interest rate at 4% until 2026 offers UK SMEs a rare opportunity amidst these ongoing economic challenges. This stability is crucial as inflation remains at 3.8%, creating a complex landscape that demands careful navigation by businesses. However, while stable interest rates can provide predictable borrowing costs - enabling SMEs to plan investments and manage cash flow - persistent inflation means that operational expenses are still rising, putting pressure on profit margins across various sectors.