The Bank of England raised its benchmark rate to 2.25 per cent - it’s seventh straight rise amid a soaring cost of living crisis in the United Kingdom.
and other banks have taken.
The Bank of England raised its benchmark rate to 2.25 per cent on Thursday, matching its half-point increase last month — the biggest hike in 27 years. The decision was delayed a week as the United Kingdom mourned Queen Elizabeth II.to increase borrowing costs as rising food and energy prices fuel a cost-of-living crisis that is considered the worst in a generation.
Despite facing a slumping currency, tight labor market and inflation near its highest in four decades, officials decided against acting more boldly as large hikes threaten to tip the economy into recession. The UK decision comes during a busy week for central bank action. A day earlier, the US Federal Reserve hiked rates by three-quarters of a point for the third consecutive time and forecast that more large increases were ahead.
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