Bank of England Cuts Interest Rates as US Tariffs Threaten UK Economic Recovery

The Bank of England has reduced its main interest rate by 0.25 percentage points to 4.25%, marking the fourth rate cut since August last year.

The central bank’s decision comes amid growing concerns that US-imposed tariffs could hinder Britain’s fragile economic recovery. The cut, widely anticipated by financial markets, is aimed at supporting growth by making borrowing cheaper for businesses and consumers.

Policymakers are closely monitoring the global trade environment, as escalating tariffs pose risks not only to UK exports but also to overall market stability.