The Bank of England has kept its benchmark interest rate unchanged at 3.75% following its Monetary Policy Committee meeting on April 30, in line with expectations.

The decision was taken by an 8–1 vote, with eight members supporting holding rates steady, while chief economist Huw Pill voted to raise the rate to 4%.

In its statement, the central bank warned that inflation, which rose to 3.3% in March, remains above its 2% target and could increase further in the coming months due to rising energy prices and ongoing geopolitical tensions in the Middle East.

Governor Andrew Bailey described the current rate level as “a reasonable place,” but indicated that further tightening could be considered if inflationary pressures persist.

The bank has kept rates steady in recent meetings following a period of monetary tightening aimed at controlling inflation. While some analysts expect potential rate cuts later this year, uncertainty surrounding global energy markets and economic conditions continues to shape the policy outlook.

The BoE said future decisions will depend on incoming economic data, particularly inflation trends and wage developments. (ILKHA)