UK Interest Rates Will Not Come Down For A Long Time According To Bank Of England Governor

28th November 2023

Andrew Bailey again dismisses speculation about rate cuts, saying fight to bring inflation down to 2% is ‘hard work'.

Andrew Bailey has warned of a tough battle ahead to bring inflation back to its 2% target as he rammed home the message that there was no immediate prospect of the Bank of England cutting interest rates.

For the third time in a week, Threadneedle Street's governor pushed back against speculation in the financial markets that official borrowing costs would soon be reduced from their level of 5.25%.

Bailey used an interview with Newcastle's ChronicleLive to stress that October's sharp drop in inflation from 6.7% to 4.6% was the result of the previous year’s surge in energy prices not being repeated rather than a marked easing of underlying price pressures.

Read the full article at the Guardian