Despite expecting inflation to hit 5% next April, the Bank of England has decided to leave interest rates unchanged at the record low level of 0.1%. This has caused the Pound to fall against other major currencies as traders had been pricing in a rate hike. Only two policymakers voted to raise interest rates to 0.25%, which has come as a slight shock after Andrew Bailey allowed speculation to build for an imminent move in the weeks prior.
UK Inflation Held at 0.1%
Updated: Nov 8, 2021