The Bank of England kept its Bank Rate unchanged at 3.75% in February, with a narrow 5 to 4 vote, as policymakers balanced easing inflation pressures against risks from a weakening economy. Four members supported a 25 basis point cut, highlighting growing divisions within the Monetary Policy Committee. Inflation remains above the 2% target but is expected to fall back to around that level from April due partly to energy price developments. Pay growth and services inflation have continued to ease, reflecting subdued economic growth and rising slack in the labour market. Policymakers noted that risks of persistent inflation have diminished, while weaker demand and a softening jobs market pose downside risks. Bank Rate has already been reduced by 150 basis points since August 2024, lowering policy restrictiveness. The committee signalled that further rate cuts are likely but will depend on incoming inflation data, with future decisions expected to be finely balanced. source: Bank of England

The benchmark interest rate in the United Kingdom was last recorded at 3.75 percent. Interest Rate in the United Kingdom averaged 7.02 percent from 1971 until 2026, reaching an all time high of 17.00 percent in November of 1979 and a record low of 0.10 percent in March of 2020. This page provides - United Kingdom Interest Rate - actual values, historical data, forecast, chart, statistics, economic calendar and news. United Kingdom Interest Rate - data, historical chart, forecasts and calendar of releases - was last updated on February of 2026.

The benchmark interest rate in the United Kingdom was last recorded at 3.75 percent. Interest Rate in the United Kingdom is expected to be 3.75 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. In the long-term, the United Kingdom Interest Rate is projected to trend around 3.00 percent in 2027, according to our econometric models.



Calendar GMT Reference Actual Previous Consensus TEForecast
2026-02-05 12:00 PM BoE MPC Vote Unchanged 5/9 4/9 7/9
2026-02-05 12:00 PM BoE MPC Vote Hike 0/9 0/9 0/9
2026-02-05 12:00 PM BoE Interest Rate Decision 3.75% 3.75% 3.75% 3.75%
2026-03-19 12:00 PM BoE Interest Rate Decision 3.5%
2026-04-30 11:00 AM BoE Interest Rate Decision 3.5%
2026-06-18 11:00 AM BoE Interest Rate Decision 3.25%


Related Last Previous Unit Reference
Banks Balance Sheet 4674061.00 4668242.00 GBP Million Nov 2025
Central Bank Balance Sheet 795797.00 791667.00 GBP Million Feb 2026
Deposit Interest Rate 3.75 3.75 percent Jan 2026
Foreign Exchange Reserves 224754.00 222489.00 USD Million Dec 2025
Inflation Rate YoY 3.40 3.20 percent Dec 2025
BoE Interest Rate 3.75 3.75 percent Feb 2026
Lending Rate 4.25 4.25 percent Jan 2026
Loans to Private Sector 2828159.00 2781954.00 GBP Million Sep 2025
Money Supply M0 102522.00 102722.00 GBP Million Dec 2025
Money Supply M1 2272711.00 2281112.00 GBP Million Dec 2025
Money Supply M2 3194389.00 3198382.00 GBP Million Dec 2025
Money Supply M3 3745533.00 3744626.00 GBP Million Dec 2025


United Kingdom Interest Rate
In the United Kingdom, benchmark interest rate is set by the Monetary Policy Committee (MPC). The Bank of England official interest rate is the repo rate. This repo rate applies to open market operations of the Bank of England with a group of counterparties (banks, building societies, securities firms).
Actual Previous Highest Lowest Dates Unit Frequency
3.75 3.75 17.00 0.10 1971 - 2026 percent Daily

News Stream
Bank of England Keeps Rates Steady
The Bank of England kept its Bank Rate unchanged at 3.75% in February, with a narrow 5 to 4 vote, as policymakers balanced easing inflation pressures against risks from a weakening economy. Four members supported a 25 basis point cut, highlighting growing divisions within the Monetary Policy Committee. Inflation remains above the 2% target but is expected to fall back to around that level from April due partly to energy price developments. Pay growth and services inflation have continued to ease, reflecting subdued economic growth and rising slack in the labour market. Policymakers noted that risks of persistent inflation have diminished, while weaker demand and a softening jobs market pose downside risks. Bank Rate has already been reduced by 150 basis points since August 2024, lowering policy restrictiveness. The committee signalled that further rate cuts are likely but will depend on incoming inflation data, with future decisions expected to be finely balanced.
2026-02-05
Bank of England to Keep Rates Steady
The Bank of England is expected to keep interest rates unchanged at 3.75% on Thursday, as policymakers wait for clearer evidence that inflation is under control despite growing concern about the labor market. Markets see less than a 1% chance of a rate cut and most economists expect a 7 to 2 vote to hold, with only Alan Taylor and Swati Dhingra likely to support a reduction. Inflation remains elevated at 3.4% but is forecast to fall to the 2% target in the second quarter, keeping hawkish members cautious. At the same time, unemployment has risen to 5.1% and redundancies have increased, raising concerns about economic weakness. Recent data has been mixed, with stronger GDP growth, solid retail sales and improving business activity offset by labor market deterioration. Governor Andrew Bailey is expected to back a hold while signalling further gradual easing ahead, with markets pricing about a 70% chance of the next rate cut in April.
2026-02-05
Bank of England Cuts Rate As Expected
The Bank of England cut the Bank Rate by 25 basis points to 3.75%, its lowest level since 2022, as easing inflation and growing signs of economic strain prompted policymakers to act. The move marked the first rate cut since August. Five policymakers voted for the cut while four favored holding rates, a less dovish-than-expected split that prompted traders to scale back expectations for further BOE rate cuts. The MPC stated that future policy easing will be guided by developments in the inflation outlook, adding that the degree of policy restrictiveness has diminished. UK inflation slowed to 3.2% in November, the lowest in 8 months and below the BoE’s forecast of 3.4%. At the same time, GDP contracted for a second month in October, while private-sector wage growth continued to cool.
2025-12-18