Barclays have joined Goldman Sachs in expecting the Bank of England to cut its benchmark Bank Rate by 25bp to 3.75% at its meeting on Thursday November 6, 2025.
The Bank of England has plenty to cite if they do go with a cut this week:
- weaker-than-expected UK data includes slowing wage growth, a cooling labour market and GDP growth tracking below BoE estimates.
- the upcoming UK budget (26 November) is expected to deliver a large contractionary fiscal impulse, including tax increases and spending restraint
A risk is the BoE will wait and see what Chancellor Reeves announces.
