You are here

Bank of England cuts inflation forecast in 'unforgiving' environment

Central Bank's Monetary Policy Committee votes 9-0 to keep interest rates on hold

NO CUT NOW: Mr Carney discounts the idea of a rate cut this year, and said that 'more likely than not', the next move will be a hike from the current record low of 0.5 per cent.


BANK of England (BOE) governor Mark Carney has cited a turbulent global economy as the reason the central bank is cutting its inflation forecast once again.

Inflation will average just 0.8 per cent this year, and climb to the 2 per cent target only in 2018, he said.