• Prior 4.00%
  • Bank rate vote [cut-unchanged-hike] 2-7-0 vs 2-7-0 expected (Dhingra, Taylor voted to cut by 25 bps)
  • Underlying disinflation has generally continued, although with greater progress in easing wage pressures than prices
  • Pay growth remains elevated, but has fallen and is expected to slow significantly over the rest of the year
  • Upside risks around medium-term inflationary pressures remain prominent
  • Downside domestic and geopolitical risks around economic activity remain
  • A gradual and careful approach to the further withdrawal of monetary policy restraint remains appropriate
  • The restrictiveness of monetary policy has fallen as the bank rate has been reduced
  • Monetary policy is not on a pre-set path
  • The timing and pace of future reductions in the restrictiveness of policy will depend on the extent to which underlying disinflationary pressures continue to ease
  • Full statement
Source: Investing Live