UK recession a 50% risk, Bank of England warns, after leaving interest rates on hold

Newsflash: the Bank of England has voted to leave UK interest rates on hold.

For the second meeting running, the Bank’s Monetary Policy Committee has decided to leave interest rates unchanged at 5.25%, a 15-year high.

This follows the 14 increases in borrowing costs from December 2021 to August this year, as the Bank tried to tame infation.

The move suggests the MPC is sticking with the ‘Table Mountain’ approach to fighting inflation – leaving borrowing costs at their current high levels until it is confident that inflation will fall back on a sustainable basis to its 2% target.

Source: The Guardian