Bank of England Cuts Interest Rates to 4%

story

AUG 7

Above: Governor of the Bank of England, Andrew Bailey, on Aug. 7, 2025 in London, U.K. Image copyright: Jordan Pettitt/Getty Images

story last updated AUG 7

The Spin

Pro-establishment narrative

Today's sensible rate cut to shows prudent monetary policy working for families. With inflation falling toward target and mortgage costs easing, this measured approach balances growth with stability. The Bank and the government's careful, evidence-based decisions are delivering real relief to homeowners while maintaining economic discipline.

Bank of England X

Establishment-critical narrative

This rate cut isn't cause for celebration but rather an admission of failure. The Bank only cuts rates when the economy is struggling, unemployment is rising, or both. With GDP stagnant, inflation rising and job losses mounting, the Bank and the government are attempting to gaslight the British public by presenting economic decline as sound monetary policy.

Spectator (UK)X