The Latest Breaking News from Bank of England

The rate is still well above the Bank of England’s target of 2% but could open the door to another interest rate cut next month

Cooling UK inflation paves way for February interest rate cut, economists say; US inflation rises but key ‘core’ measure eases

Labour’s fiscal rules may limit the chancellor’s ability to act, but waiting it out may be the best option

Sarah Breeden, the Bank’s deputy governor for financial stability, also said firms might respond to the tax rises by cutting staff or raising prices.

High government borrowing costs come amid fears that inflation is creeping up again, which could lead the Bank of England to keep rates on hold

Throughout 2024, many home owners and prospective first-time buyers would have kept a close eye on the Bank of England’s base interest rate. Eventually, the first cut arrived in August (from 5.25% to 5%), followed by another drop to 4.75% in November.

High government borrowing costs come amid fears that inflation is creeping up again, which could lead the Bank of England to keep rates on hold

Former Bank of England governor in the frame as successor to departing Justin Trudeau

Mr Carney was governor of the Bank of England between 2013 and 2020.

Supporters of former Bank of England and Bank of Canada governor say he has experience to lead in period of instability

The new year is off to a ‘promising start’ with a couple of lenders reducing their mortgage rates, one expert said.