US EditionBank of England lowers UK interest rates to 4.25% in second cut this year
- On Thursday, the Bank of England reduced its benchmark interest rate by 0.25 percentage points, lowering it to 4.25%, due to concerns about the impact of global economic slowdown and tariff-related uncertainties.
- The rate cut followed easing inflationary pressures and lower borrowing costs by central banks globally, though opinions among committee members varied on the size of the cut.
- The U.K.'s inflation rate stands at 2.6%, with price rises in April notably in domestic energy and water, and uncertainty remains due to ongoing tariff tensions and global trade risks.
- Bank Governor Andrew Bailey emphasized that maintaining inflation at a low and steady level remains their primary focus, while experts anticipate a series of gradual interest rate reductions as inflation is likely to exceed the target in the near future.
- This decision suggests the Bank will continue a cautious approach with possible additional cuts later in 2025, reflecting uncertainty in the global economy and impacts of trade policies.
107 Articles
107 Articles
UK cuts interest rates as it warns Trump’s trade war will hamper growth
The NewsThe Bank of England cut interest rates to 4.25% Thursday, as it warned that Washington’s global trade war will limit the UK’s economic growth over the next few years.“The past few weeks have shown how unpredictable the global economy can be. That’s why we need to stick to a gradual and careful approach to further rate cuts,” the central bank’s chief, Andrew Bailey, said.The cut — the UK central bank’s fourth since August — came as UK and…
Bank of England cuts rates again, citing Trump tariff tensions and slower growth
The Bank of England on Thursday cut its key interest rate by a quarter point to 4.25 percent as the threat of US tariffs starts to weigh on economic growth. The central bank's fourth such reduction in nine months, which had been widely expected by markets, contrasts with a decision by the US Federal Reserve on Wednesday to freeze borrowing costs. The Bank of England update meanwhile came shortly after Donald Trump announced an agreement with Bri…
Coverage Details
Bias Distribution
- 46% of the sources are Center
To view factuality data please Upgrade to Premium
Ownership
To view ownership data please Upgrade to Vantage
