1.5m UK homeowners on variable rate mortgages face new borrowing rise

Poll of City analysts shows unanimous expectation of Bank of England raising interest rates to 4.5%

Almost 1.5 million homeowners with variable rate mortgages face higher borrowing costs with the Bank of England expected to push up interest rates on Thursday to 4.5%.

City analysts polled by Refinitiv were unanimous in forecasting the central bank would increase its base rate by 0.25 percentage points when policymakers meet to tackle Britain's stubbornly high inflation rate.