Grolsch Premium Pilsner has become the latest to suffer from so-called “drinkflation”. Meanwhile, Goldman Sachs expects interest rates to fall to 2.75% next year. Read this and the rest of today’s consumer and personal finance news below.
Interest rates will fall more than we’ve been told, says Goldman Sachs
The question of where interest rates will eventually land has been the source of much speculation in the last year or two.
Around 3.5% has been an often-cited destination point for late next year as central banks, having seen inflation come under control, ease monetary policy.
But two predictions today might please anyone due to remortgage in around a year’s time.
US investment bank Goldman Sachs is now forecasting a drop to 2.75% by November 2025.
Goldman pointed to “rapidly falling inflation and dovish Monetary Policy Committee commentary”.
The base rate was raised to 5.25% last August, a 16-year high.
We’ve had one cut since then, with another widely anticipated on 7 November which would bring the rate to 4.75%.
In a separate forecast, Deutsche Bank has also lowered its expectation to 3% for the early part of 2026.
New benefit launched in Scotland
A new benefit for pensioners with disabilities has been rolled out in a pilot scheme in parts of Scotland.
The “pension age disability payment” will support those of state pension age who are disabled, have a long-term health condition or are terminally ill.
It will provide between £290 and £434 per month to successful applicants.
The new benefit will be open for applications in Argyll and Bute, Aberdeen, Orkney, Shetland and Highland council areas from today, but won’t be rolled out across the country until next spring.
It will replace the current attendance allowance offered by the UK government, and those already in receipt will have their claims moved to Social Security Scotland in early 2025.
