Bank of England Raises Bank Rate to 4% in 8-1 Vote, Revises CPI Peak to 4.9% for Q2 2027

The BoE's first rate increase since 2023 reflects a sharp upward revision in inflation driven by energy costs, with the MPC unanimous in tightening. This move coordinates with other major central banks facing similar pressures and signals sustained vigilance through 2027. Policy path remains conditional on Middle East developments and wage pass-through.