“Keeping interest rates on hold will feel like a disheartening setback for those businesses battling against spiralling cost pressures and people struggling with onerous mortgage costs, especially after another difficult Budget.
“Though the Bank’s forecast of lower inflation suggests that more interest rate cuts are coming, this latest decision confirms that the pace of easing will remain painstakingly cautious with policy already close to its neutral rate.
“Though the vote split confirms that the rate-setters remain deeply divided, if inflation falls as the Bank now expects then there should be a decisively dovish shift within the committee in the coming months, meaning more rate cuts are likely.
“Rate-setters look likely to opt for two interest rate cuts this year, possibly in April and July, while keeping a third reduction in their back pocket to deploy if the economy fares worse than the Bank forecasts.”
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Chartered accountants are talented, ethical and committed professionals. ICAEW represents more than 210,000 members and students around the world. 98 of the top 100 global brands employ ICAEW Chartered Accountants.* 87% of FTSE 100 companies, and 81% of FTSE 250 companies in the UK, have an ICAEW member on their board.
Founded in 1880, ICAEW has a long history of serving the public interest and we continue to work with governments, regulators and business leaders globally. And, as a world-leading improvement regulator, we supervise and monitor around 11,000 firms, holding them, and all ICAEW members and students, to the highest standards of professional competency and conduct.
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ICAEW is a founding member of Chartered Accountants Worldwide (CAW), a global family that connects over 1.8m chartered accountants and students in more than 190 countries. Together, we support, develop and promote the role of chartered accountants as trusted business leaders, difference makers and advisers.
We believe that chartered accountancy can be a force for positive change. By sharing our insight, expertise and understanding we can help to create sustainable economies and a better future for all.
* includes parent companies. Source: ICAEW member data March 2025, Interbrand, Best Global Brands 2024.
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