Afin Bank Base Rate Comment
05 February 2026
Following today's base rate announcement by the Bank of England, Charles Resnick, Chief Finance Officer at Afin Bank, commented:
“Following December’s cut in interest rates another one this early in 2026 was always unlikely. In fact, the market is not expecting to see a rate cut until April’s meeting where the Monetary Policy Committee (MPC) should have a clearer view on pay awards and whether this is further evidence of slack emerging in the economy.
“MPC members appear to have little appetite to loosen policy again so the voting at each meeting will continue to be close.
“I expect lenders to remain disciplined with their mortgage rates given the uncertainty over the timing of the next cut and the MPC’s more cautious approach to returning inflation sustainably to its 2% target.”
