Bank of England Split on Interest Rate Cuts

Senior officials at the Bank of England are publicly divided over when to cut interest rates, just days before a critical decision. Deputy Governor Dave Ramsden has warned that inflation pressures remain, citing "upside risks" from strong wage growth and high prices in the services sector. He argues the central bank must take a cautious approach to any further reductions in borrowing costs. His comments place him at odds with fellow rate-setter Swati Dhingra, who has recently advocated for an immediate cut to prevent damaging the UK economy. This split highlights the difficult choice facing the Monetary Policy Committee. While UK inflation has fallen closer to the Bank's 2% target, some policymakers fear it could rise again if rates are cut too soon. The Bank's official decision will be announced next Thursday.