Global Rate Pause Deepens as BoE and Fed Hold Rates Steady

The Bank of England held interest rates at 3.75% on July 30, 2026, following a day after the US Federal Reserve kept borrowing costs on hold.

This move comes as global rate pauses deepen, leaving emerging market central banks to calibrate their own policy rates. The BoE's decision reflects its ongoing struggle to balance persistent services inflation against signs of cooling in the broader UK economy.

The pound traded narrowly against the dollar and euro following the announcement, suggesting financial markets had fully priced in a hold. The Bank Rate has now been held at 3.75% for several consecutive meetings.