The Bank of England left its Bank Rate unchanged at 3.75% at its July meeting, with a 6-3 majority in favor of holding rates steady, while three policymakers preferred a 25-basis-point increase to 4.0%. The decision reflects a balance between easing inflation and persistent risks from higher energy prices following recent tensions in the Middle East. Although consumer price inflation has slowed to 2.6%, the Bank expects it to rise again later this year as higher energy costs feed through to households and businesses. Encouragingly, there is little evidence so far of significant second-round inflation effects, while weaker labor market conditions and still-elevated borrowing costs are helping reduce underlying inflationary pressures. Nevertheless, the Committee believes inflation risks remain tilted to the upside due to geopolitical uncertainty and stands ready to tighten policy further if necessary to ensure inflation returns sustainably to its 2% target. 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 7.01 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 August 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 4.00 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 4.00 percent in 2027 and 3.50 percent in 2028, according to our econometric models.