UK Monetary Policy Summary
It's among the primary tools the MPC uses to communicate with investors about monetary policy. It contains the outcome of their vote on interest rates and other policy measures, along with commentary about the economic conditions that influenced their votes. Most importantly, it discusses the economic outlook and offers clues on the outcome of future votes;
Source first released in Aug 2015;
- History
| Expected Impact / Date | Description |
|---|---|
| Dec 19, 2024 | |
| Nov 7, 2024 | |
| Sep 19, 2024 | |
| Aug 1, 2024 | |
| Jun 20, 2024 | |
| May 9, 2024 | |
| Mar 21, 2024 | |
| Feb 1, 2024 | |
-
- UK Monetary Policy Summary News
From brecorder.com|Dec 19, 2024The Bank of England on Thursday kept its key interest rate at 4.75 percent, deciding against a cut in line with the US Federal Reserve, as UK inflation rises again. “We’ve held interest rates today following the two cuts since the summer,” BoE governor Andrew Bailey said in a statement. “We need to make sure we meet the two-percent inflation target on a sustained basis,” he added following a regular policy meeting and after data this week showed UK annual inflation rising to 2.6 percent. The expected rate decision came a day after ...
From bankofengland.co.uk|Dec 19, 2024|3 commentsThe Monetary Policy Committee (MPC) sets monetary policy to meet the 2% inflation target, and in a way that helps to sustain growth and employment. The MPC adopts a medium-term and forward-looking approach to determine the monetary stance required to achieve the inflation target sustainably. At its meeting ending on 18 December 2024, the MPC voted by a majority of 6–3 to maintain Bank Rate at 4.75%. Three members preferred to reduce Bank Rate by 0.25 percentage points, to 4.5%. Since the MPC’s previous meeting, twelve-month CPI ...
- From bnnbloomberg.ca|Dec 15, 2024
The Bank of England entered the year with investors expecting six interest-rate cuts, a sudden easing that promised to breathe life into the UK economy. It will end 2024 holding borrowing costs a full percentage point higher than forecast 12 months ago. The British central bank is expected to leave rates unchanged at 4.75% at its meeting on Thursday and maintain its guidance that a “gradual approach to removing policy restraint remains appropriate.” While BOE Governor Andrew Bailey has said that four cuts over the course of 2025 are ...
From scotiabank.com|Nov 7, 2024As widely expected, the BoE lowered its policy rate by 25bps to 4.75% this morning, in an 8–1 decision that was accompanied by a cautious communique and Monetary Policy Report that were generally shy on guidance, as well as a classically dry Gov Bailey press conference. Last week’s UK Budget and Tuesday’s US elections have given the BoE a lot to digest so soon before today’s announcement and will likely continue to influence their thinking on whether to ease again in December. That aside, there are two rounds of jobs/wages, CPI, and ...
From think.ing.com|Nov 7, 2024Nobody will be very surprised to learn that the Bank of England has cut interest rates this month. Bank Rate has been taken a quarter point lower for the second time this year, which leaves it at 4.75%. Instead, everyone wanted to know what the Bank made of the latest budget. Big spending increases will, investors have assumed, reduce the scope of the BoE's rate-cutting cycle. Take a glance at the BoE’s new forecasts, and it’s tempting to conclude that the Bank agrees. Growth is higher and it expects inflation to be at 2.2% in two ...
From @PiQSuite|Nov 7, 2024post:
BOE'S BAILEY: **WE DO NOT HAVE A SPECIFIC LEVEL OF THE EQUILIBRIUM INTEREST RATE IN MIND **I DO NOT EXPECT INTEREST RATES TO RETURN BACK TO VERY LOW LEVELS BEFORE WE STARTED TO RAISE THEM, UNLESS THERE IS A VERY BIG SHOCK post: BOE GOV. BAILEY: UNCERTAINTY ABOUT THE UK LABOR FORCE PARTICIPATION ADDS TO UNCERTAINTY ABOUT THE NEUTRAL LEVEL OF UK INTEREST RATES. post: BOE GOV. BAILEY: WE DID REFLECT QUITE CONSIDERABLY ON THE ROLE OF MARKET RATE ASSUMPTIONS FOR THE LATEST FORECAST IN MPC DISCUSSIONS. post: BOE GOV. BAILEY: WE WILL SEE WHERE MARKET INTEREST RATES ARE AT THE DECEMBER MEETING AND JUDGE POLICY ACCORDINGLY. post: BANK OF ENGLAND'S BAILEY: I WILL NOT SPECIFY WHAT GRADUAL MEANS FOR RATE CUTS
From @financialjuice|Nov 7, 2024|1 commentpost:
BOE GOV. BAILEY: DISINFLATION FASTER THAN EXPECTED. post: BANK OF ENGLAND'S BAILEY: WE STILL NEED TO SEE SERVICES PRICE INFLATION COME DOWN MORE BROADLY TO KEEP CPI AT 2% post: BoE's Bailey: Slack Sufficient For CPI At Target In Medium Term post: BOE GOV. BAILEY: A GRADUAL APPROACH TO CUTTING RATES WILL HELP GIVE US TIME TO ASSESS IMPACT OF NICS RISE AND OTHER RISKS. post: BOE GOV. BAILEY: I DON'T THINK IT IS RIGHT TO CONCLUDE THAT PATH OF INTEREST RATES WILL BE VERY DIFFERENT DUE TO BUDGET.- From youtube.com/bankofenglanduk|Nov 7, 2024
Our Monetary Policy Committee (MPC) decides what monetary policy action to take. The MPC sets and announces policy eight times a year (roughly once every six weeks). In this video, the MPC discusses the decisions taken in Nov 2024 and answers questions from the press.
| Released on Dec 19, 2024 |
|---|
| Released on Nov 7, 2024 |
|---|
- Details