BoE Holds Rate at 3.75% as MPC More United, Says Deutsche Bank

Deutsche Bank’s Chief UK Economist Sanjay Raja reports that the Bank of England held its Bank Rate steady at 3.75%, in line with expectations. He highlights that while the Monetary Policy Committee (MPC) appears more divided on paper, there is actually a stronger consensus to maintain the current policy stance.

The decision is supported by improved economic data, declining wage and price inflation, and geopolitical factors such as the Iran/US situation. The assessment suggests a steady policy path with an active hold, meaning the BoE is likely to keep rates unchanged for now.