Bank Of England Inflation Forecast 2025

Bank Of England Inflation Forecast 2025. A top bank of england official last night said interest rates may need to be cut as many as six times this year to stave off recession fears as labour’s jobs tax bites. The bank expects one rate cut in the first half of 2025, likely in february, as policymakers weigh the risks of persistent inflation against concerns over slowing economic.

British inflation is set to average 2.6% in 2025, finance minister rachel reeves said in her first budget speech on wednesday, citing forecasts from the office for budget. The bank of england must contend with a slowdown in britain’s economy but also stubborn inflation pressures when it considers whether to cut interest rates in early february.