A number of experts, including Global Insight’s chief UK and European economist Howard Archer, anticipate that when the bank’s monetary policy committee (MPC) meets this week they will vote to raise the base rate of interest to 5.75 per cent.
Such an increase will see household incomes stretched for millions of consumers and could lead many people to consider ways of finding a debt solution.
“We assume that the four MPC members in favour of higher interest rates in June will maintain that view at the July meeting,” explained Mr Archer.
“This means that it will only need one of the five ‘no change’ MPC camp to switch sides to trigger an interest rate hike.”
Research carried out by Sainsbury’s Bank recently suggested that there are more than 2.8 million adults in the UK who are afraid of confronting their own financial situation.