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HSBC says it now expects the Bank of England (BoE) to cut the base rate in December, by 25 basis points, to 3.75%. It had previously expected a hold. This, the bank says, is in line with market expectations, which are pricing in a 93% chance of a cut.

Mortgage experts said a cut by the Bank of England will send borrowers and the broader property market into "full-on beast mode" next year.

HSBC expects a 5-4 vote to cut, with Governor Andrew Bailey switching his vote from November, noting 'in our view the last thing the sterling rate market needs right now is the BoE adding to a sense of confusion.

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'Governor Bailey will be aware of this. Given he’s not made any public comment that pushes b

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