The Bank of England is expected to keep interest rates unchanged at 5.25% as it aims to balance the impact of higher rates on the UK economy. Sluggish economic growth and signs of a slowdown in the job market have led to predictions that rates will remain steady.
Rates had been raised previously to combat inflation, and they are currently at their highest level in 15 years. The Bank of England has been gradually increasing rates since December 2021 in an effort to tackle inflation, which remains above the bank's 2% target at 6.7%.
The decision to hold rates reflects the delicate balance between controlling inflation and supporting economic growth.