Bank of England (BoE) Governor Andrew Bailey stated on Thursday that the bank expects further rate cuts despite the expected temporary pickup in inflation.
In a press briefing following the release of BoE's decision to further cut rates by 25 basis points, Bailey remarked that while inflation in services fell more than expected, some factors such as GDP "weakness" are affected by both the demand and supply and their influence cannot be fully predicted.
"It is important to take a gradual approach to easing [of the interest rates]," he concluded, explaining that the policy makers must be "careful" to reflect both the domestic and global uncertainty.
