Titan Business Insurance: Interest Rates Heading North

Added: (Tue Mar 01 2011)

Pressbox (Press Release) - One of the UK’s leading business insurance brokers is warning clients that interest rates are likely to rise in the near future.

Titan Business Insurance, which looks after the needs of many individuals and companies across numerous commercial and industrial sectors, is warning clients that the age of record low interest rates (and therefore, in theory, cheap money) is about to end.

Titan notes that the Bank of England’s Monetary Committee is becoming split on the need to raise interest rates to counter the threat of inflation. But with more committee members thinking about a need to increase rates (given that commodity inflation won’t be as short lived as many economists thought originally), a rate rise in May looks likely. And with commodity led inflation likely to increase in the future (considering the growth of the global economy), there could be a number of rises throughout 2011.

Chief Executive Officer of Titan Business Insurance, Basil Tsapralis, said:
“It’s a great irony of course that in this last period of record low interest rates, there has been an acute shortage of money for businesses, with banks taking defensive positions, and this has placed a great strain on cashflow and expansion plans.

“And now that it looks like these rates are set to rise back up, then this will represent a new challenge for businesses across the UK. Therefore, we are advising our clients to brace themselves for the inevitable and ensure that they have the means to take on a new financial environment.”
Titan is one of the country’s largest and most active business insurance brokers.

For further information about Titan’s services, visit their website titan-insurance.com or call them on 0207 731 3700.