Bank of England holds rates at 3.75% in 7-2 vote

The Bank of England voted 7-2 to keep its benchmark rate unchanged at 3.75%, saying the path of current inflation pressures remains unclear. While a tentative U.S.-Iran truce could ease energy supply strains and push oil prices lower, the BoE said the past four months of high energy costs have already built inflation pressure “in the pipeline,” according to Reuters. The central bank slightly revised up its year-end inflation expectation to 3.25% and nudged its underlying quarterly growth estimate to 0.2%.