Hussain Mahdi of HSBC Asset Management said in a report that after cutting the benchmark interest rate by 25 basis points to 4.25% on Thursday, the Bank of England may cut interest rates again next month. “With inflation data moving in the right direction, the Monetary Policy Committee now seems more willing to cut interest rates. We believe interest rate cuts are necessary to boost economic growth and possibly ease the pressure on government financing costs.” He said that the Bank of England may cut interest rates by a total of 125 basis points this year. If service sector inflation and wage growth slow further, interest rate cuts may be brought forward to next month.

Hussain Mahdi of HSBC Asset Management said in a report that after cutting the benchmark interest rate by 25 basis points to 4.25% on Thursday, the Bank of England may cut interest rates again next month. “With inflation data moving in the right direction, the Monetary Policy Committee now seems more willing to cut interest rates. We believe interest rate cuts are necessary to boost economic growth and possibly ease the pressure on government financing costs.” He said that the Bank of England may cut interest rates by a total of 125 basis points this year. If service sector inflation and wage growth slow further, interest rate cuts may be brought forward to next month.