UBS global research strategists say the Bank of England is likely to keep Bank Rate at 3.75% for the remainder of 2026. Maintaining a restrictive stance should allow the BoE to contain any second‑round inflation effects; given a weak economic and labour‑market starting point, further hikes are unlikely. UBS expects the next policy moves to be rate cuts in February and April 2027.

2026-06-30

UBS global research strategists say the Bank of England is likely to keep Bank Rate at 3.75% for the remainder of 2026. Maintaining a restrictive stance should allow the BoE to contain any second‑round inflation effects; given a weak economic and labour‑market starting point, further hikes are unlikely. UBS expects the next policy moves to be rate cuts in February and April 2027.