Current:Home > InvestBank of England keeps main UK interest rate unchanged at 15-year high of 5.25%-Angel Dreamer Wealth Society D1 Reviews & Insights
Bank of England keeps main UK interest rate unchanged at 15-year high of 5.25%
View Date:2024-12-23 20:02:43
LONDON (AP) — The Bank of England has kept its main interest rate unchanged at the 15-year high of 5.25%, as inflation across the U.K. is expected to fall further over the coming months.
In a statement Thursday, the bank’s nine-member Monetary Policy Committee indicated that inflation, as measured by the consumer price index, is set to fall toward a 2% target rate over the coming year. In the year to September, inflation stood at 6.7%.
Most economists expect a sizable decline over coming months as domestic energy bills fall.
The bank in September ended a nearly two-year run of interest rate rises. The U.S. Federal Reserve and the European Central Bank have also held interest rates over the past week.
The Bank of England, like other central banks, raised interest rates aggressively from near zero as it sought to counter price rises first stoked by supply chain issues during the coronavirus pandemic and then Russia’s invasion of Ukraine, which pushed up food and energy costs.
Higher interest rates, which cool the economy by making it more expensive to borrow and bearing down on spending, have contributed to bringing down inflation worldwide.
Though most economies have avoided falling into recession, fears remain that the British economy could start to see output shrinking in coming months, hardly the best backdrop for the governing Conservative Party ahead of a general election.
veryGood! (9615)
Related
- University of Illinois Urbana-Champaign chancellor to step down at end of academic year
- Report says former University of Florida president Ben Sasse spent $1.3 million on social events
- Pennsylvania high court rules against two third-party candidates trying for presidential ballot
- Cooler weather in Southern California helps in wildfire battle
- As CFP rankings punish SEC teams, do we smell bias against this proud and mighty league?
- Gunman says he heard ‘killing voices’ before Colorado supermarket shooting
- No pressure, Mauricio Pochettino. Only thing at stake is soccer's status in United States
- Trump Media stock jumps after former president says he won’t sell shares when lockup expires
- Lions find way to win, Bears in tough spot: Best (and worst) from NFL Week 10
- How many points did Caitlin Clark score today? Rookie breaks WNBA assist record in setback
Ranking
- Army veteran reunites with his K9 companion, who served with him in Afghanistan
- Usher Shares His Honest Advice for Pal Justin Bieber After Welcoming Baby
- Georgia’s lieutenant governor won’t be charged in 2020 election interference case
- Indy woman drowned in Puerto Rico trying to save girlfriend from rip currents, family says
- KFC sues Church's Chicken over 'original recipe' fried chicken branding
- Modern Family’s Julie Bowen Reveals What Her Friendship With Sofia Vergara Is Really Like
- Universities of Wisconsin adopt viewpoint-neutral policy for college leaders
- Indy woman drowned in Puerto Rico trying to save girlfriend from rip currents, family says
Recommendation
-
Mississippi woman pleads guilty to stealing Social Security funds
-
Astronauts left behind by Starliner set for press conference from ISS: Timeline of space saga
-
Officials ignored warning signs prior to young girl’s death at the hands of her father, lawsuit says
-
New Boar's Head lawsuit details woman's bout with listeria, claims company withheld facts
-
Sister Wives’ Janelle Brown Alleges Ex Kody Made False Claims About Family’s Finances
-
Best Nordstrom Rack’s Clearance Sale Deals Under $50 - Free People, Sorel, Levi's & More, Starting at $9
-
Biden administration appears to be in no rush to stop U.S. Steel takeover by Nippon Steel
-
State Department diplomatic security officer pleads guilty to storming Capitol