Economy

Bank of England to hold interest rates but cuts may be on way

Rates expected to be kept at 5.25 per cent for the fourth time in a row

Andrew Bailey, Bank of England governor. Interest rates are widely expected to be kept at 5.25 per cent for now. Picture: Getty

The Bank of England is expected to leave UK interest rates unchanged on Thursday, but how soon it can begin cutting borrowing costs will be in sharp focus as the country balances on the cusp of a recession.

Decision-makers on the Bank’s Monetary Policy Committee (MPC) are widely expected to keep interest rates at 5.25 per cent for the fourth time in a row.

Experts said the MPC could use Thursday’s announcement to hint at ...