Preview: BoE To Keep Rates Unchanged in June, With a “Hawkish Hold” and Dissenters

In this paper, we discuss:

• Why the BoE is expected to keep rates unchanged at 3.75% in June;
• How the Bank is balancing inflation risks against a weakening economy and softer labour market;
• Why energy prices and developments in the Iran conflict remain central to the policy outlook;
• The growing debate within the MPC over whether further rate hikes may still be required;
• Why markets continue to price in the possibility of additional tightening later this year.

Download PDF: BOE Preview – June 2026