Article 6S1SW Bank of England cuts interest rates by 0.25 points to 4.75%

Bank of England cuts interest rates by 0.25 points to 4.75%

by
Richard Partington Economics correspondent
from Economics | The Guardian on (#6S1SW)

Borrowing costs reduced for second time this year with Fed expected to cut US rates later on Thursday

Mortgage borrowers have been put on notice that interest rates will take longer to come down after the Bank of England warned Rachel Reeves's budget would add to inflation while boosting economic growth.

Giving its verdict on last week's budget as it announced a quarter-point cut in interest rates to 4.75% on Thursday, the central bank said the chancellor's plans would drive up inflation to a fresh peak next year.

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