The Central Bank of England announced its decision on monetary policy in May 2025

The statement of the Bank of England was as follows:

- The results of the vote on the interest rate were expected 7-2-0 against 8-0-1 (dengra and Taylor voted for the reduction by 50 basis points, while Mann and Bell voted in favor of keeping the interest rate unchanged at 4.50%).

- The past two years have witnessed remarkable progress in reducing inflation.

- This progress allowed the Central Bank of England to gradually retreat from the policy of fiscal consolidation.

- But the interest rate remains within the restriction range, in order to further reduce the ongoing inflationary pressures.

- In general, progress continues in the field of reducing inflation in domestic price and wage pressures.

- The decision to lower the interest rate reflects the continued progress in reducing inflation, with inflation risks remaining in both directions.

- A gradual and cautious approach to further monetary policy tightening remains appropriate.

- Monetary policy will need to continue to be restrained long enough for inflation risks to return sustainably to their normal level.

Mann and Bell's votes were surprising, which led to a sudden rise in the value of the pound sterling. The British pound pair rose against the dollar.

With regard to the statement, there has been no significant change to the statement. The Bank of England emphasizes that it will continue its gradual and cautious approach, similar to the one it followed in March.