: Wage growth has moderated but remains a watchpoint; private sector settlements are expected to average 3.4% in 2026 . Financial Stability and Risk Management Interest rates and Bank Rate: our latest decision
: In the March 2026 meeting, the Monetary Policy Committee (MPC) voted unanimously to maintain the rate at 3.75%, citing new inflationary risks from Middle East energy price surges.
: Analysts largely expect another "hold" at 3.75% as the Bank assesses the impact of the ongoing Iran war on fuel and utility costs. Economic Outlook and Inflation
: UK Consumer Prices Index (CPI) inflation rose to 3.3% in March 2026 , up from 3.0% in February, driven primarily by fuel prices.
: The next rate decision is scheduled for Thursday, 30 April 2026 .