Mood-boosting rate cut is a fillip for Reeves but leaves future uncertain

The Bank’s ‘gradual and careful’ mantra was reflected in the MPC’s caution. Photograph: Alberto Pezzali/AP

Thursday’s interest rate cut to 4.25% is the fourth in a run of reductions that kicked off last August. It represents a fillip for Rachel Reeves, who will hope it helps revive the feelgood factor for gloomy British consumers.

The Bank of England’s nine-member monetary policy committee (MPC) has passed judgment on the impact of Donald Trump’s trade war for the UK – and expects modestly weaker growth and inflation to be the result.