Bank of England Breaks Three-Year Rate Pause

The Bank of England raised Bank Rate a quarter point to 4% on November 5, its first increase since August 2023, ending a run of six straight holds this year. The Monetary Policy Committee voted 8-1, with the lone dissenter pushing for a bigger half-point move instead. The hike comes as UK inflation is projected to climb toward 5% by mid-2027. The pound ($FXB) is now pricing in a central bank that just broke three years of only cutting or holding rates.