Base rate held at 3.75%; MPC decision commentary from LHV Bank Interim CEO Kris Brewster

19 March 2026

Kris Brewster, Interim CEO at LHV Bank, said:

“This base rate hold reflects just how uncertain the outlook has become. Inflation was already running ahead of target, and with tensions in the Middle East driving up oil prices, the risk is that price pressures build again before they ease.

Even without a rate move, households are likely to feel the impact through higher fuel costs and rising prices across everyday spending. That makes it more important than ever to make sure cash is not sitting in low paying accounts.

One way for consumers to protect their finances and manage persistent inflation is by switching to current and savings accounts offering rates of 3.75% AER or more. These products can help everyday balances keep pace, rather than lose value over time, although Moneyfactscompare.co.uk data [1] shows one in four savers have never switched accounts.

People cannot control global markets or energy prices, but they can take control of where they keep their money. In a period like this, making small, practical changes can make a real difference to household finances.”

Sources: Top fixed rates fall but switching is still crucial for savers. Moneyfactscompare.co.uk. 03.10.25: https://moneyfactscompare.co.uk/news/savings/top-fixed-rates-fall-but-switching-still-crucial/