Analyst: The Bank of England will avoid significant rate cuts

ChainCatcher news, Robert Wood from Pantheon Macroeconomics stated in a report that despite the gloomy outlook for UK economic growth, the Bank of England may remain cautious.

The Bank of England's Monetary Policy Committee will meet next month to decide on the next course of action, and amid signs of an economic slowdown, investors generally expect a 25 basis point cut in the key interest rate. A few anticipate a 50 basis point cut, but Wood said that seems unlikely. Although confidence surveys are becoming increasingly bleak, the underlying data shows that the UK economy "has been performing well prior to the recent turmoil," so the Monetary Policy Committee may avoid a significant rate cut.