Well, this is the first post from 2020 from United Kingdom Loans finance news, and it has been an interesting year so far about finances! We have a non-stop news agenda around the political climate within the United Kingdom regarding leaving the European Union. But will leaving the European Union have any impact on the average United Kingdom resident’s finances? Here are United Kingdom Loans we strongly believe that the United Kingdom will not be negatively impacted by leaving the European Union, particularly when considering finances, and indeed, it could even be argued that the finances could potentially improve for the average British resident. So how is it possible to protect your online finances during what may be an interesting and bumpy period? One of the most stable investment areas in the UK continues to be bricks and mortar.
Interest Rates and Financial Stability
Although many commentators with expertise within the finance sector have commented and indeed predicted over many years that the housing industry will collapse, this is yet to happen. The only significant negative impact the financial sector could have on housing would be an increase in interest rates. Now although this would clearly have a devastating impact on those who are unable to have a fixed-rate mortgage over lengthy periods of time, this could potentially have an impact on the financial stability of the United Kingdom. There are, however, no warnings from the UK government about any potential rise in interest rates, and therefore here at United Kingdom Loans, we continue to believe that it is safe to invest.
If the interest rates were to rise, then unless you are on a fixed-rate mortgage, then you may have to incur additional monthly costs, and this must always be factored into any household budget. Believe it or not, some people within the United Kingdom have savings and/or retirement funds sitting around, not really working for them. Many people are hoping for interest rates to rise, and therefore, the chunk of savings they have can potentially increase in value over a protracted period. We do not, however, think this is going to happen any time soon, and for those people who are sitting on large retirement pots gathering a tiny amount of interest, your money could potentially be elsewhere in more efficient investment opportunities. In terms of the United Kingdom’s business model moving deeper into 2020, we will continue to introduce customers to quick loans irrespective of any financial unrest that may be instigated through our divorce from the European Union.
What Next?
Although we now post Brexit, there really isn’t much to report on the direct impact on the UK financial sector from leaving the European Union. With regard to finances and the average household budget, nothing much has changed. That isn’t to say that there will not be a rocky road ahead, and the chances are financing will be impacted at some point or another, either for the positive or the negative. We suggest people sit tight on any investments that they have and don’t make any risky decisions until the political climate has stabilised and we fully understand the ramifications are for leaving the European Union.
