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Markets expect UK interest rates to bottom out at 3.0% in Q1 2027, BoE survey shows

Investors polled by the Bank of England expect the central bank to steadily cut its main Bank Rate to a low of 3 per cent by its March 2027 meeting, down from 3.75 per cent after Thursday’s interest rate decision, a survey showed on Friday. Policymakers on the Monetary Policy Committee voted 5-4 to keep borrowing costs at 3.75 per cent but signalled further cuts ahead if an expected fall in inflation looks like it will last. [...]