Bank of England raises interest rates!

In the statement made by the BoE, it was reported that the policy interest rate was increased from 1 percent to 1.25% and the decision was taken with the votes of 6 members of the Monetary Policy Committee.

The market expectation was that the policy rate would be increased by 25 basis points.

With this decision of the bank, the policy rate in the country has been increased for the 5th time since December last year.

In the minutes of the Board, it was noted that the other three members voted to increase the policy rate by 0.5 percentage points to 1.5 percent.

In the minutes, it was stated that the inflation is expected to exceed 11 percent in October, and that necessary measures will be taken to return the inflation to the 2 percent target in a sustainable manner in the medium term.

In April, inflation in England reached 9 percent, the highest level in the last 40 years, due to the increase in energy and food prices.