Bank of England expected to raise interest rates to 13-year high

Economists predict minimum 0.25 point rise as households contend with cost of living crisis

The Bank of England is likely to raise interest rates to the highest level since the recession caused by the 2008 financial crisis, despite mounting concern that the economy is weakening amid the cost of living crisis.

City economists widely expect the Bank will increase its base rate by at least 0.25 percentage points to 1% on Thursday, lifting borrowing costs to the match the level set in February 2009 when it was in the process of cutting rates to historic lows as the global financial system imploded.