BOE Watch: Risks shifting towards UK rates being cut below 3.50%

The Bank of England will almost certainly leave interest rates at 4.25% at its meeting on Thursday 19th June and will keep its options open for the subsequent meeting in August. But the recent falls in employment and easing in wage growth support our view that the Bank will cut rates to 4.00% in August and to 3.50% next year. In fact, there’s a growing chance that rates fall to 3.00% next year.

We’ll be discussing the outlook for Bank of England, Fed and ECB policy in a 20 minute online Drop-In at 3pm BST on Thursday 19th June. (Register here.)