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Bank of England holds interest rates at 3.75% despite rising inflation
Markets expect a pause as officials warn inflation could rise to 4% early next year and energy costs keep pressure on prices.
- The Bank of England's Monetary Policy Committee voted 6–3 to hold the benchmark interest rate at 3.75% for the sixth consecutive meeting.
- The decision comes despite mounting pressure to curb inflation, which rose to 3.1% in August—up from 2.9% in July and well above the central bank's 2% target.
- Central bank officials pointed to persistent energy price spikes, driven largely by ongoing conflict and geopolitical tensions involving Iran, as a major factor fueling the recent uptick in domestic inflation.
- The MPC weighed rising cost-of-living pressures against a sluggish domestic economy marked by slowing wage growth, falling job vacancies, and unemployment hovering around 5%.
- Financial markets and economic analysts increasingly project that the central bank will be forced to implement an interest rate hike at its next meeting in November, potentially raising the base rate to 4.0%.
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Noticias ao Minuto
Noticias ao MinutoThe Bank of England has maintained the main leading rate at 3.75%. Some of the possible causes for this decision are inflation in the UK and uncertainty about the evolution of energy prices.
·Lisboa, Portugal
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The Bank of England kept the interest rate at 3.75 per cent today Thursday, but warned that the continued rise in energy prices due to the Middle East war might cause inflation to exceed 4 per cent early next year.
Coverage Details
Total News Sources80
Leaning Left9Leaning Right15Center9Last UpdatedBias Distribution46% Right
Bias Distribution
- 46% of the sources lean Right
46% Right
L 27%
C 27%
R 46%
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