A new reduction in its basic interest rate by 25 percentage points, at 4.25%, was made on Thursday by the Bank of England, with policy -making managers, however, appearing divided amid the uncertainty caused by US President Donald’s duty war.

In particular, the members of the Bank of England’s Monetary Policy Committee decided to reduce interest rates by 0.25% by votes of 5 to 4. Two members of the Commission wanted a greater reduction, by half a percentage point, while the leader of Hi Pil and Kathryn Mann voted to vote for themselves. Economy.

Nevertheless, the Commission has kept its attitude unchanged that the relaxation of monetary policy should continue with “carefully and gradually” steps in the light of the volatility of Trump’s sweep duties.

The Bank of England’s decision is the first of the British Central Bank following the announcement of the large duty scale announced by Trump on April 2, causing a temporary turmoil in international markets and pushing the International Monetary Fund to reduce its forecasts for growth.

The Bank of England estimates that increases in US duties and retaliation of other countries will to some extent affect the British economy, however, adding that the landscape is still unclear.

“The last few weeks have shown how unpredictable the global economy can be. That is why we must insist on a gradual and careful approach to further interest rates cuts, “said Bank of England Governor Andrew Bailey.

The British Central Bank added that there is no predetermined interest rates policy, adding, at the same time, that the impact of global commercial tensions “should not be overestimated”.

“Interest rates are not on the automatic pilot. They can’t be, “Bailey said in a press conference that followed the decision. “Instead, the Commission (MPC) must continue to respond carefully to the evolving economic conditions and the prospects for inflation in the United Kingdom.”

The Bank of England sees inflation returning to its target 2% in the first quarter of 2027 – that is, nine months earlier than it predicted in February – and expects inflation in two years will be reduced to 1.9%, lower than 2.3%.

As for the British economy, it estimates that it will grow by 1% this year, at a slightly stronger rate than the 0.75% expected in February, adding that the growth rate in the first quarter was unstable.

On the other hand, however, its prediction for the growth rate of 2026 to 1.25% from 1.5% previously.