First interest rate cut in four years “give business a welcome relief”

The decision to cut interest rates for the first time since 2020 can help smaller businesses across Lancashire.

Companies have been putting off investing due to high inflation rates and the geo-political situation, but an easing of rates might offer some breathing space for SMEs, say the BCC.

David Bharier, head of research at the BCC, commented: “For UK SMEs, our research shows that inflation remains a top issue for them, albeit down on the peak of concern in 2022.

“A cautious and well-communicated approach from the Bank will support business confidence, which has been steadily increasing in recent months.

“As the Chancellor begins to prepare her Autumn budget, we want to work in partnership with government to unlock the investment needed to boost economic growth.”