The Bank of England has maintained its Base Rate at 0.5%, surprising financial markets which had been expecting a cut of 0.25%.

The Base Rate has been held at 0.5% – a record low – since March 2009, but many predicted a cut in the wake of the Brexit result due to economic pressures.

Now experts are saying that we could see a larger rate cut from the Bank of England next month.

Simon Checkley, managing director of mortgage broker Private Finance, said he welcomed the Monetary Policy Committee’s decision and anticipated that it will cut rates by as much as 0.5% in August.

After the Brexit vote result to leave, Governor of the Bank of England Mark Carney strongly hinted that interest rates would be cut at some point over the summer, as the UK’s economic outlook has deteriorated.

If the Base Rate is cut, borrowers on a variable rate mortgage – such as a standard variable rate, discounted rate or tracker rate – could see their monthly repayments fall. Those on fixed rate mortgages will see no change.