Monetary Policy Committee (MPC)

Money Moves

Split committee determining the pace and endpoint of the UK’s easing cycle

This cut had courtroom drama energy. The Bank of England dropped rates to 3.75%—but only because Governor Andrew Bailey switched his vote and made it 5–4. The immediate market read was hawkish-by-UK-standards: sterling rose and gilt yields ticked higher as traders pared back expectations for rapid 2026 easing.

Updated Dec 18, 2025