Bank of England holds interest rates at 5%

The decision was widely expected, after the Bank of England warned interest rates would have to “remain restrictive for sufficiently long”

Low angle view of Bank of England on a bright sunny day
(Image credit: Shomos Uddin via Getty Images)

The Bank of England has announced it will keep interest rates on hold at 5% for at least the next two months. The decision is a blow for households and businesses struggling with high borrowing costs, but one that was widely expected. 

The decision from the Monetary Policy Committee (MPC) was clear-cut, with members voting to hold rates by an 8-1 majority. The only committee member who voted to reduce the base rate to 4.75% was Swati Dhingra, who has repeatedly advocated for a more dovish stance from the UK central bank. 

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Katie Williams
Staff Writer

Katie has a background in investment writing and is interested in everything to do with personal finance, politics, and investing. She enjoys translating complex topics into easy-to-understand stories to help people make the most of their money.

Katie believes investing shouldn’t be complicated, and that demystifying it can help normal people improve their lives.

Before joining the MoneyWeek team, Katie worked as an investment writer at Invesco, a global asset management firm. She joined the company as a graduate in 2019. While there, she wrote about the global economy, bond markets, alternative investments and UK equities.

Katie loves writing and studied English at the University of Cambridge. Outside of work, she enjoys going to the theatre, reading novels, travelling and trying new restaurants with friends.