Skip to content
Search

Latest Stories

Bank of England maintains 5 per cent rate following major US cut

The Bank of England is pictured on May 9, 2024 in London. (Photo: Getty Images)
The Bank of England is pictured on May 9, 2024 in London. (Photo: Getty Images)

THE BANK of England (BoE) kept its key interest rate at five per cent on Thursday, opting against consecutive cuts following a significant reduction by the US Federal Reserve a day earlier.

After the regular meeting, BoE governor Andrew Bailey stated the need to avoid cutting rates "too fast or by too much" as inflation remains above the bank’s target.


The decision saw policymakers vote 8-1 to maintain the current rate, following a narrow vote for a cut in August.

One member of the committee advocated for a rate reduction to 4.75 per cent this time.

Recent official data showed UK annual inflation at 2.2 per cent in August, unchanged from July, and above the BoE’s target of two per cent. Inflation has significantly declined since peaking above 11 per cent in late 2022.

On Wednesday, the US Federal Reserve reduced borrowing costs by 50 basis points, marking the first such move since the beginning of the Covid pandemic.

Last week, the European Central Bank also cut rates for the second time this year. Analysts expect the BoE to cut rates in November, with Bailey indicating that further easing may be ahead.

"The economy has been evolving broadly as we expected," Bailey said. "If that continues, we should be able to reduce rates gradually over time. But it's vital that inflation stays low."

The BoE raised borrowing costs 14 times between late 2021, when they were at a record-low 0.1 per cent, and the latter half of last year.

Global inflation soared due to supply-chain disruptions following Covid lockdowns, combined with the impact of rising food and energy prices caused by Russia’s invasion of Ukraine.

(With inputs from AFP)

More For You

JLR-Getty
A logo is pictured outside a Jaguar Land Rover new car show room in Tonbridge, south east England. (Photo: Getty Images)

Jaguar Land Rover says no customer data stolen in cyber breach

JAGUAR LAND ROVER (JLR) said on Friday it is working "at pace" to resolve a cyber incident that has severely affected its retail and production activities. Factory staff have been told to stay at home until at least early next week.

The company disclosed the breach on Tuesday, the latest in a series of cyber and ransomware attacks against businesses globally. Companies such as Marks & Spencer and Co-op have also been hit by breaches in recent years.

Keep ReadingShow less
India vs Pakistan

India's Hardik Pandya celebrates with teammates after he took a wicket during the ICC men's Twenty20 World Cup 2024 group match against Pakistan on June 9, 2024. (Photo: Getty Images)

First India-Pakistan match since conflict headlines Asia Cup

Highlights:

  • India and Pakistan to meet for the first time since May’s conflict
  • Asia Cup begins Tuesday in the UAE as preparation for next year’s T20 World Cup
  • Harbhajan Singh opposes the fixture, citing tensions between the nations
  • India are defending champions and lead Pakistan 10-3 in T20 internationals

INDIA and Pakistan will meet for the first time in cricket since their military conflict in May when they face each other in the Asia Cup starting Tuesday.

Keep ReadingShow less
Zubir Ahmed

Ahmed takes up the role of parliamentary under-secretary of state in the Department of Health and Social Care. (Photo: X/@zubirahmed)

Seema Malhotra and Zubir Ahmed take new posts in junior minister reshuffle

SEEMA MALHOTRA and Dr Zubir Ahmed have been appointed to new ministerial roles as part of Keir Starmer’s reshuffle, which followed Angela Rayner’s resignation as housing secretary and deputy prime minister.

Ahmed takes up the role of parliamentary under-secretary of state in the Department of Health and Social Care.

Keep ReadingShow less
​London Underground

London Underground services will not resume before 8am on Friday September 12. (Photo: Getty Images)

Tube strike begins as RMT stages five-day walkout over pay

Highlights:

  • First London Underground strike since March 2023 begins
  • RMT members stage five-day walkout after pay talks collapse
  • Union demands 32-hour week; TfL offers 3.4 per cent rise
  • Elizabeth line and Overground to run but face heavy demand

THE FIRST London Underground strike since March 2023 has begun, with a five-day walkout over pay and conditions.

Keep ReadingShow less
Onam 2025: 5 celebrity Onam celebrations that got the looks just right

Onam 2025: 5 celebrity fits that nailed the Onam mood

Onam 2025: 5 celebrity Onam celebrations that got the looks just right

Highlights:

  • Mohanlal kept it timeless in a crisp mundu and shirt
  • Prithviraj & Supriya Menon looked like the perfect festive album shot
  • Malavika Mohanan brought in a twist with her kasavu saree with traditional jewellery
  • Malaika Arora embraced Kerala’s spirit with a kasavu saree, temple jewellery, and a warm Sadhya
  • R. Madhavan & Sarita Birje showed coordinated elegance in mundu and saree

Festivals tell their own stories. Sometimes it’s not in the captions, not even in the feasts, but in the clothes, the smiles, and the way people carry tradition without trying too hard. Onam this year gave us just that: celebrities, often dripping in designer labels, strip it back to something pure, elegant, and powerfully rooted.

Here’s who absolutely nailed the Onam vibe.

Keep ReadingShow less