Decision Due Today: The Bank of England’s Monetary Policy Committee is expected to make a decision on interest rates today, August 1, 2024 .
Possible Rate Cut: Borrowing costs in the U.K. could be cut for the first time since the onset of the coronavirus pandemic more than four years ago, though economists stressed that the decision is likely to be a close call .
Current Interest Rate: The current interest rate is at a 16-year high of 5.25% .
Forecast: Some economists expect a quarter-point rate cut, while others predict no change or a cut in September .
Inflation Concerns: Despite inflation reaching the Bank of England’s target rate of 2%, some policymakers have expressed concerns about persistent price pressures in the services sector .
Interest Rate Cut Possible: Financial markets are forecasting interest rates will be cut from 5.25% to 5%, the first reduction since 2020 
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Close Call: The decision hangs in the balance, with a 40% chance the Bank will hold rates again ¹.
Inflation Concerns: Despite inflation reaching the Bank of England’s target rate of 2%, some policymakers have expressed concerns about persistent price pressures in the services sector .
UK Interest Rates: UK interest rates have held at 5.25% since August 2023, having risen sharply from 0.1% in December 2021 .
Monetary Policy Committee: The Monetary Policy Committee (MPC) will announce its next decision on interest rates on August 1, 2024 .
Forecast: Some economists expect a quarter-point rate cut, while others predict no change or a cut in September
