The Bank of England is poised to reduce interest rates for the second time in three months as inflation has dropped to its lowest level in over three years. Economists caution that concerns about future price trends following recent tax increases and potential economic impacts from the U.S. President-elect may limit future rate cuts.
Currently, the Bank of England is expected to lower its main interest rate by a quarter of a percentage point to 4.75%. This move follows a previous rate cut in August, the first since the early days of the pandemic in 2020.
