Bank of England cuts interest rates to 4.25%

The Monetary Policy Committee (MPC) members have voted by a slight majority of five to four to cut rates. Among the dissenting voices, two preferred a much larger 0.5% cut to 4%, while the other two wanted to hold and keep the Bank rate at 4.5%. In its reasoning today (8 May), the MPC said that while progress on disinflation in domestic price and wage pressures continues, the uncertainty surrounding global trade policies "has intensified since the imposition of tariffs by the US". "There has subsequently been volatility in financial markets, and market-implied policy rates have mov...