Bank of England holds interest rates at 3.75% as inflation fears mount

The Bank of England has held interest rates for the fifth successive time despite cautioning that energy prices and an AI-driven memory chip shortage will drive inflation higher.

The rate has remained at 3.75 per cent since December 2025 – but a hike is now expected this year

The Bank of England held interest rates at 3.75% today, despite fears that the recent spike in energy prices could prompt another inflation shock.

The Bank of England has opted to hold interest rates at 3.75 per cent after the UK economy surprised economists with better results for inflation – though policymakers warned that “policy strategy could change” ahead of a difficult second half of the year for price stability.…

Split vote comes as Iran war is rekindled and oil price climbs back above $90 a barrel Business live – latest updates The Bank of England has kept UK interest rates on hold as it warned that a further escalation in the Iran war could drive inflation above 4% next year, adding to…

The Bank of England kept interest rates steady at 3.75% on Thursday, with Governor Andrew Bailey insisting his committee is not getting closer to a hike despite three members voting for tighter policy.