Bank of England Governor Andrew Bailey said the effects of inflation on the UK economy remain muted ahead of the central bank’s next policy meeting. He said inflation has persisted but is having a less pronounced broader impact than in previous cycles, while the Bank continues to monitor wage growth and services inflation. The UK economy is showing resilience, with relatively low unemployment and consumer spending holding up. Investors are pricing in a possible interest-rate cut, but the timing is uncertain and the Monetary Policy Committee remains dependent on incoming data. Continued moderation in inflation could make policymakers more comfortable easing policy to support growth, while an unexpected inflation spike could change the outlook. A rate cut would reduce borrowing and mortgage costs for households and businesses but could also indicate concern about economic weakness. No decision has been made public.