Bank of England Holds Interest Rates at 3.75% as Inflation Outlook Remains Uncertain
The Bank of England’s Monetary Policy Committee voted seven to two to keep the benchmark interest rate unchanged at 3.75 percent, citing persistent caution over the inflation outlook despite consumer price inflation easing to 2.8 percent. Policymakers pointed to ongoing energy price volatility and the risk of wage-driven inflation pressures, saying monetary policy must remain restrictive to ensure inflation returns sustainably to the 2 percent target.