The Bank of England keeps benchmark interest rates unchanged.

The Bank of England announced on the 5th that it will maintain the benchmark interest rate at 3.75%, which is in line with market expectations. The Bank of England's decision on interest rates this time is based on multiple considerations. On the one hand, there are signs of stabilization in the UK economy, so there is no urgency for the Bank of England to cut interest rates. On the other hand, inflation in the UK also shows sticky characteristics. In December last year, the UK Consumer Price Index reversed the continuous decline trend of the previous few months, rebounding from 3.2% in November to 3.4%; the Service Price Index also slightly increased from 4.4% in November to 4.5%. In this situation, the Bank of England chooses to maintain a wait-and-see attitude. Market institutions expect that if the UK labor market further slows down, the Bank of England may cut interest rates in April. The Bank of England cut interest rates four times in 2025, with a total cumulative cut of 100 basis points.