Tax cuts are what we need, not interest rate tinkering

The national obsession with the Bank of England base rate is beginning to make my blood boil.

If low interest rates were the saviour of the Great British economy they’re heralded to be, why are house prices sky high? Why are young renters finding it more difficult than ever to buy one? Why are savers and pensioners seeing their incomes shrink? Why is the average British household expected to have racked up £10,000 in unsecured debt by the end of the year? None of these things make me thank my lucky stars I’m living in low-interest Britain.

What I believe we need is tax cuts – that’s what will get people spending, stimulate demand and bring about growth. To date, the low-interest-rate environment has failed to do so.

Of course, I’m glad that my mortgage rate is a tiny fraction of what my parents were lumbered with when I was in primary school.