The Bank of England (BoE) announced that it left the policy rate unchanged at 5.25% following the September policy meeting. Markets were expecting the BoE to raise the interest rate by 25 basis points to 5.5%.
The BoE’s Monetary Policy Committee (MPC) voted 5-4 in favor of holding the policy rate steady. Governor Bailey, policymakers Broadbent, Dhingra, Pill and Ramsden voted to hold, while Cunliffe, Greene, Haskel and Mann wanted to lift the key rate to 5.5%. The MPC also voted to reduce the stock of gilts by 100 billion GBP in 12 months starting October.
