TEXT-Bank of England's Monetary Policy Summary

Bank of England's December 2024 Monetary Policy Overview

12 noon BANK OF ENGLAND MONETARY POLICY SUMMARY, DECEMBER 2024

The Monetary Policy Committee (MPC) sets monetary policy to meet the 2%

inflation target, and in a way that helps to sustain growth and employment. The

MPC adopts a medium-term and forward-looking approach to determine the monetary

stance required to achieve the inflation target sustainably.

At its meeting ending on 18 December 2024, the MPC voted by a majority of 6-3

to maintain Bank Rate at 4.75%. Three members preferred to reduce Bank Rate by

0.25 percentage points, to 4.5%.

Since the MPC's previous meeting, twelve-month CPI inflation has increased to

2.6% in November from 1.7% in September. This was slightly higher than previous

expectations, owing in large part to stronger inflation in core goods and food.

Services consumer price inflation has remained elevated. Headline CPI inflation