The Bank Rate was cut from 8 to 7.5 percent at the meeting of the Monetary Policy Committee (MPC) on December 10, 2013. This was in line with positive outlook for inflation, which fell further to 4.8 percent in October and is expected to remain within the Bank’s 3 – 6 percent inflation objective. However, in order to protect the interest of depositors, banks are required to offer and publish a 91-day deposit or equivalent deposit product which pays an interest rate that is no more than 3.5 percentage points below the prevailing Bank Rate with commensurate higher interest rates for longer-dated deposits.

• Read the MPC statement