The Bank Rate was cut to 8.5 percent at the meeting of the Monetary Policy Committed held on June 18, 2013. Inflation fell to 6.1 percent in May, just outside the objective range of 3 – 6 percent, and is expected to fall within the range in the second half of the year. Overall, the outlook for inflation remains positive, allowing a cut in interest rates that is consistent with a more accommodative policy stance while achieving the inflation objectivein the medium term.

• Read the MPC statement