Economy

Bank of England holds rates at 5.25%

Decision comes despite ‘encouraging signs’ inflation is easing

For the first time since September 2021, no-one on the nine-person decision-making body that sets interest rates voted for an increase. Picture: Getty

Bank of England has held interest rates at 5.25 per cent.

The decision comes despite UK inflation cooler quicker than expected last month, with prices growing 3.4 per cent - the lowest rate in two and a half years.

Bank of England governor Andrew Bailey said: “In recent weeks we’ve seen further encouraging signs that inflation is coming down.

“We’ve held rates again today at 5.25 per cent because we need to be sure that ...