Bank interest rate increase

The Bank of England has raised the interest rate for only the second time in a decade.

The rate has risen by 0.25% to 0.75% - the highest level since March 2009.

The move will increase the interest costs of more than three-and-a-half million residential mortgages that have variable or tracker rates.

But it will be welcomed by savers, who could see a lift in their interest rates over the coming months.