Borrowers to gain from expected further cut in interest rates to 1%

BORROWERS can expect the cost of borrowing in Europe to hit record lows tomorrow.

The European Central Bank is almost certain to cut interest rates by a 0.25% to 1% where they are expected to remain until well into 2010, Bloxham Stockbrokers said yesterday.

What other moves the bank makes in relation to “further unconventional policies” referred to after its April policy meeting is open to question.