Interest rates will fall by less than expected next year because of the inflationary impact of the budget in a blow to homeowners. On Thursday the Bank of England cut interest rates for the second time this year by 0.25 percentage points to 4.75 per cent. However, it said the budget, which included an extra £70 billion of spending next year, would lead to higher inflation. Traders said the Bank was less likely to cut interest rates next month, and that only two reductions had been priced in for next year. • Bank cuts interest rates to 4.75 per centThe Bank forecast that inflation would rise to 2.4 per cent by the end of the year and not return to below its 2 per
