There is a growing expectation among Britons that the base arte of interest will fall markedly over the coming months.

New research shows that 56 per cent of those questioned said that they expect the base rate to fall below five per cent by the end of the year.

According to the study by Fairinvestment, 29 per cent of respondents said they thought the base rate would fall to 4.75 per cent.

A further 27 per cent are confident that it would drop even further to 4.5 per cent.

"Many people see further rate cuts as a necessary means of easing pressure on household budgets," James Caldwell, Fairinvestment director.

"The Fed has slashed rates dramatically in the US, and some people believe this should be replicated in the UK, particularly for those struggling with high mortgage payments," he added.

The Bank of England''s Monetary Policy Committee is due to announce its next base rate decision on April 10th.