Rates drop: banks told to follow
Updated on 04 December 2008
Gordon Brown urges banks to pass on today's one per cent rate cut in the hope of boosting confidence and spending.
The cost of borrowing is down again after interest rates were slashed to their lowest level for 57 years, equal to 1694 levels, in another attempt by the Bank of England to prop up the economy.
After last month's shock 1.5 per cent reduction in rates the bank cut another one per cent, with the prime minister hoping the cut will be passed on to homeowners and businesses in full.
Meanwhile, there has been fresh evidence of the depth of the downturn.
