Target Group comments on BoE MPC decision

30 April 2026

Melanie Spencer, growth director at Target Group, said:

“The central bank faces a real tug of war as it looks to control inflation and avoid further pressure on the real economy – all while navigating the implications of the Iran conflict. Against this complex backdrop, holding the base rate appears to be the most pragmatic course of action, mirroring the Fed’s decision yesterday.

“Ahead of today’s announcement, we have already seen a number of lenders reduce mortgage rates and bring products back to market – showing that there is some margin to work with and an appetite for competition. However, with markets still pricing in the possibility of further rate rises, uncertainty remains a key feature of the outlook, particularly as inflationary pressures continue to evolve.

“As lenders find the balance between meeting lending targets and shrewd pricing, operational agility becomes even more of a factor. Lenders that can respond quickly to shifting market dynamics, renewed competition and evolving borrower needs will be best placed to support intermediaries and their clients in the months ahead. Ultimately, success will hinge on efficient, scalable and tech-enabled operations – whether delivered in-house or outsourced to the right partners.”