Two of the Bank of England's most vocal proponents for raising interest rates reversed course, aligning with the central bank's decision to maintain its current policy stance for the fifth consecutive meeting.
Catherine Mann and Jonathan Haskel joined the majority in the Monetary Policy Committee, resulting in an 8-1 vote to keep rates steady at 5.25%, marking a significant shift as the Bank hints at potential easing later in the year. This decision marks the first time since September 2021 that no member advocated for a rate hike.
However, Governor Andrew Bailey tempered expectations, emphasizing that the bank isn't yet ready to lower interest rates. The guidance remains unchanged, indicating a continuous review of the duration of the current rate level.
The committee acknowledged the possibility that policy could remain restrictive even with rate cuts, given the existing elevated levels.
Swati Dhingra, for the second consecutive meeting, voted for ...
Sign up to read the entire article. It's Free and Simple to sign up!
We are offering a
FREE 30 day trial which includes full access to the following services here at investorAi.
You only need an email address to sign up! You will NOT be billed at the end of your trial unless you wish to begin a subscription.