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United Kingdom·Trade & Economy

Bank of England holds interest rates at 3.75% amid energy price uncertainty

Sunday, 21 June 2026, 06:17 · 1 min read

The Bank of England's Monetary Policy Committee (MPC) voted 7–2 on June 18 to keep its benchmark interest rate at 3.75%, with a minority of two members pushing for a rise to 4%. UK inflation has eased to 2.8% but is expected to climb again later in the year as higher global energy costs — driven in part by ongoing Middle East conflict — continue to filter through the economy. The MPC stressed that while it cannot directly control energy prices, it is calibrating policy to ensure inflation returns sustainably to its 2% target, and will closely monitor how the energy shock develops.

Sources
MercoPressBank of England keeps rate at 3.75%; inflation 2.8% but energy prices remain volatile ↗︎
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