Interest rates cut but Bank hints fewer falls to come

“The Bank of England has delivered one more cut for the road, before it’s widely expected to shut up shop for a while and wait for the dust to settle,” said Sarah Coles, head of personal finance at Hargreaves Lansdown.

“More borrowing in the Budget, a higher national living wage and rises in employer National Insurance contributions, have raised concerns that inflation could make an unwelcome return,” she added.

Given this, the Bank is “wary of cutting rates further”, Ms Coles said.

The slower pace of rate cuts “means better news for savers and those searching for an annuity, but bad news for mortgage borrowers”.