Most economists in a recent Reuters poll expect the Bank of England to keep its key interest rate unchanged at 4.75% at its December 2024 meeting and hold that level through the end of the year, with the majority also seeing no change until at least March 2025. The view reflects a cautious policy stance as inflation continues to cool but remains above the Bank's 2% target, while the labor market has stayed resilient despite sluggish growth. The Bank had already reduced rates earlier in 2024 from a peak of 5.25%, but persistent services inflation and wage growth have made policymakers wary of easing too quickly. For households and businesses, that points to borrowing costs staying elevated for longer, limiting the scope for a sharp fall in mortgage rates and potentially weighing on consumer spending and housing activity. Economists are now watching the Bank's quarterly projections due in February, alongside the effects of the autumn Budget and incoming inflation data, for clearer signals on whether the next rate cut comes in the second quarter of 2025 or, as a minority of forecasters believe, as early as February.