Why has the Bank of England cut the interest rate and what does it mean for mortgages and inflation? - A lowering of the base rate to 5% suggests mortgage costs have peaked and inflation is coming und

The central bank said future cuts would be gradual amid higher inflation forecasts after the new government introduced spending and tax increases in its budget.

The Bank of England on Thursday said it was cutting its key interest further after UK inflation hit a three-year low and signalled more reductions, easing pressure on borrowers.

The Bank of England cut interest rates but pointed to the uncertainty facing the global economy from fresh trade barriers and Middle East conflict

The Bank of England has cut its main interest rate by a quarter of a percentage point after inflation across the U.K. fell below its target rate of 2%

High inflation in Britain has not been vanquished and there is a risk that some drivers of price growth could be heading upwards, Bank of England interest rate-setter Catherine Mann said on Wednesday.

Interest rates have been cut for the second time this year, by a quarter of a percentage poi, but mortgage rates are still set to rise in a blow to homeowners. The Bank of England reduced the base rate from 5 per cent to 4.75 per cent on Thursday, following a 0.25 percentage-point cut in August, which was the first drop in four years.

Markets await US inflation for clues on further Fed rate cuts. Opus Energy has agreed to pay more than £7m in refunds, redress and goodwill payments after the regulator Ofgem found that the company overcharged almost 88,

The Bank of England should keep interest rates on hold until upside risks to inflation - including those posed by the election of Donald Trump as the United States' next president - dissipate, a top BoE official said on Thursday.