Bank of England keeps interest rates at 3.75% as inflation concerns persist

Bank indicates anti-inflation measures in Rachel Reeves’s budget likely to pave way for rate cuts in months ahead Business live – latest updates UK inflation rises for first time in five months to 3.4% in December Bank of England policymakers have left interest rates unchanged at 3.75%, but indicated that lower inflation as a result of cost-of-living measures in Rachel Reeves’s budget should pave the way for cuts in the months ahead. The nine-member monetary policy committee (MPC) voted to leave borrowing costs on hold, despite forecasting weaker growth and lower inflation than at its last quarterly forecast in November.