Bank of England Holds Rates as U.K. Inflation Rises Amid Economic Uncertainty

Published On Dec 19, 2024, 7:16 AM

The article discusses the current state of the British economy as it ends the year, highlighting issues such as rising inflation, stagnation, and low consumer confidence. Following the transition to Labour's governance, the economy has struggled despite initial recovery after recession, primarily due to high interest rates and increased taxation on businesses. The Bank of England opted to maintain interest rates at 4.75% amidst rising inflation rates that are diverging from its target, leading to a pessimistic outlook for economic growth in the near term.