How the Bank of England announcement will impact SMEs
Nawaz Ali, UK market analyst for Western Union Business Solutions (UK) Ltd, comments on the announcement:
“The Bank of England’s reassuring message on Britain’s economic outlook, despite some distressing developments in emerging markets and oil prices, is a big relief today, and should help restore some confidence in the BoE’s positive interest rates outlook.
“Today’s announcement will be particularly pleasing for many British importers who are struggling to come to terms with a volatile and disruptive start to 2016 in currency markets.
“Having already lost 6.3% in value against the US dollar over the past two months, a more gloomy message from the BoE today could have intensified fluctuations in the Pound, creating even more urgency for UK corporates and SME’s to seek hedging strategies that protect profits from currency risk.”