Eco Week Ahead

BOE Is Probably About to Cut Rates Despite a Spike in Inflation

Andrew Bailey during a financial stability report news conference at the central bank's headquarters in the City of London, UK, on July 9.

Photographer: Chris Ratcliffe/Bloomberg

The Bank of England is likely to deliver another interest-rate cut on Thursday, as tax hikes and wary consumers hamper Britain’s economy and prompt firms to slow hiring.

The Monetary Policy Committee is widely expected to reduce its benchmark rate by 25 basis points, to 4%, sticking to its once-a-quarter pace of cutting.