The Governor of the Bank of England stated that he expects the UK to cut interest rates four times next year. This expectation has drawn widespread attention and may bring a new direction to the UK economy. Interest rate cuts are typically aimed at stimulating economic growth, increasing market liquidity, and impacting various aspects such as corporate financing costs and consumer borrowing. If the rate cut plan is implemented, corporate loan costs are expected to decrease, which could promote investment and expansion; mortgage rates for individuals may also decline, stimulating markets such as real estate. However, interest rate cuts may also bring some negative effects, such as fluctuations in the pound's exchange rate and changes in inflationary pressures, and their subsequent impact needs to be closely monitored and comprehensively assessed.
