Bank of England Holds Key Rate at 3.75% Despite Inflation at 3.1%

The Bank of England has kept its key interest rate unchanged at 3.75% even as consumer price inflation exceeded 3%. The Monetary Policy Committee voted 6-3 to maintain the rate, with three members advocating for a 0.25 percentage point increase to 4%. The bank noted that UK consumer prices rose 3.1% in August, and energy costs could push inflation above 4% by early 2027.