💨 Abstract

The Bank of England reduced its main interest rate to 4% to stimulate the UK economy. This move, expected by financial markets, aims to balance inflation control with economic growth concerns due to rising taxes and global trade tensions. It's the fifth cut since August 2024, bringing the rate to its lowest since March 2023. Economists hope cheaper loans will boost consumer and business confidence, but uncertainties around potential tax hikes may persist.

Courtesy: WTOP Staff