The Bank of England’s Monetary Policy Committee (MPC) has held interest rates at 4.25% due to a “highly unpredictable” world as energy prices are rising.
The MPC said they will take a “gradual and careful approach” to reduce borrowing costs.
The bank’s governor Andrew Bailey said, “Interest rates remain on a gradual downward path, although we’ve left them on hold today.
“The world is highly unpredictable.”
Bailey said there are “signs of softening in the labour market” including easing wage growth and slower hiring.
