The move would see rates reach their highest level since March 2009, when they were slashed from 1% to the emergency low of 0.5% in an effort to contain the fall-out from the financial crisis. This time too, RBI has maintained neutral stance with an objective of achieving the medium-term target for headline inflation of 4 per cent while supporting growth.
The Bank had backed away from a rate rise earlier this year after growth slowed down sharply to 0.2 per cent in the first quarter, but said the economy had recovered as predicted.
Some economists have raised doubts about the case for the rate hike.
John Macintosh, head of tax in for Deloitte in scotland, said: "Sub-trend growth and a cloudy outlook hardly make a compelling case for a higher United Kingdom rates".
The BoE said Britain's economy, while growing more slowly than in the past ahead of Brexit, was operating at nearly its "speed limit", or full capacity, raising the prospect of more home-grown inflation pressure ahead.
"Whilst costs for Scottish households with variable interest rate mortgages will rise, the overall cost of borrowing remains low by historical standards". However, it's ultimately up to the banks about how much their want to increase this.
It would also take the so-called Bank Rate to its highest level since 2009.
A Bank rate rise does not guarantee the equivalent increase in interest paid to savers.
If you have a variable-rate mortgage on a property, your monthly payments are expected to increase.
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Vijay Valecha, chief market analyst at Century Financial Brokers, said NRIs can, however, benefit from a higher interest rate on fixed deposits. "For people having existing loans most of the personal and auto loans are usually at fixed rates, hence the biggest impact comes to mortgage loans".
Where will rates go from here?
"There is only a very remote possibility that the BOE won't hike rates on Thursday", Kathleen Brooks, research director at Capital Index said in an email.
Wraith doesn't believe that such data will stop the Bank of England from hiking rates but believes it should, particularly when considering that this behaviour is going against the bank's own forecasts.
Bank of England governor Mark Carney has warned about the risks associated with Brexit.
Who decided how much it went up by? .
Members of the nine-strong Monetary Policy Committee (MPC) voted unanimously to raise the base rate from 0.5 per cent to 0.75 per cent.
The Bank of England will also release its latest forecasts for economic growth, jobs and inflation on Thursday.
When am I likely to see changes to my finances? .
Saver or borrower? Interest rates have risen. "They'll fit one more in before he leaves, probably in May next year, at which point we should have some clarity over Brexit".