Finance

BoE's Bailey sees rate path shrouded increasingly by uncertainty

Published by Global Banking & Finance Review

Posted on June 3, 2025

1 min read

· Last updated: January 23, 2026

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BoE's Bailey sees rate path shrouded increasingly by uncertainty
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LONDON (Reuters) -Bank of England Governor Andrew Bailey said the path for interest rates was now shrouded in more uncertainty than before because of global trade policy turmoil. "I think the path

Bank of England's Bailey Highlights Increased Uncertainty in Rate Path

LONDON (Reuters) -Bank of England Governor Andrew Bailey said the path for interest rates was now shrouded in more uncertainty than before because of global trade policy turmoil.

"I think the path remains downwards, but how far and how quickly is now shrouded in a lot more uncertainty," Bailey told parliament's Treasury Committee.

"We've added the word 'unpredictable' to 'uncertain' because of the sheer nature of what we're dealing with."

(Reporting by David Milliken and Suban Abdulla, additional reporting by Muvija M, editing by William James)

Key Takeaways

  • BoE Governor Bailey notes increased uncertainty in interest rate paths.
  • Global trade policy turmoil contributes to economic unpredictability.
  • Bailey addresses the Treasury Committee on economic forecasts.
  • Interest rate path remains downward but unpredictable.
  • UK economy faces challenges due to global policy shifts.

Frequently Asked Questions

What did Andrew Bailey say about the interest rate path?
Andrew Bailey stated that the path for interest rates is now more uncertain due to global trade policy turmoil.
How has the description of uncertainty changed?
Bailey mentioned that they have added the word 'unpredictable' to 'uncertain' because of the nature of the current situation.
What committee did Bailey address regarding interest rates?
Bailey addressed the Treasury Committee in Parliament to discuss the uncertainty surrounding interest rates.

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