Interest rates could hit 8%, says economist
Interest rates could rise to 8% by 2012 if inflation gets out of control, a think tank has warned.
Andrew Lilico, chief economist at the Policy Exchange, says the Bank of England may be forced to dramatically hike the base rate if inflation rises dramatically (see the The Remortgage Guide and Top Savings guides).
Dr Lilico thinks the UK is likely to suffer from a double dip recession, followed by a boom, driven by huge monetary growth, leading to the strongest economic growth since the 1980s.
http://www.moneysavingexpert.com/news/mortgages/2010/08/interest-rates-could-hit-8-says-economist