A Non-Unanimous Bank of England Vote to Raise Bank Rate by 25 Basis Points to 4.25%
March 23, 2023
The Bank of England‘s vote in favor of a 25-basis point rate hike to 5.25% was not unanimous, as two of the nine committee members voted to retain a 5.0% level. This was the 11th increase from a base of 0.10% when the first move occurred in December 2021. While officials expect a sharp inflation deceleration later this year, February’s acceleration to 10.4% caught them by surprise. Going forward, officials promise to “adjust Bank Rate as necessary to return inflation to the 2% target sustainably in the medium term, in line with its remit.”
Copyright 2023, Larry Greenberg. All rights reserved. No secondary distribution without express permission.
Tags: Bank of England
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