🇬🇧 BANK OF ENGLAND CUTS INTEREST RATE TO 3.75%
🔸 The Bank of England has reduced the interest rate from 4% to 3.75%, the lowest level in nearly three years.
🔸 This decision was very close, with the council voting 5 in favor and 4 against.
🔸 Concerns about weak economic growth and rising unemployment outweighed worries about inflation.
🔸 Inflation is declining but still above the Bank's target of 2 percent.
🔸 The Bank expects inflation to approach the 2 percent level by the middle of next year, partly due to the government's tax and spending policies in last month's budget.
🔸 Governor Andrew Bailey stated that interest rates may continue to gradually decrease, but each subsequent reduction will be harder to decide.
🔸 The next meeting to review interest rates is scheduled for February 5.
