The Bank of England has held its official interest rate since December after four cuts in 2025. (AP PHOTO)The Bank of England has held its official interest rate since December after four cuts in 2025. (AP PHOTO) Credit: AAPThe Bank of England has kept its key interest rate on hold for the fifth time in 2026 after a bigger-than-expected drop in the inflation rate in June gave policymakers breathing space to assess the fallout from renewed fighting in Iran. The bank's monetary policy committee on Thursday voted 6-3 to keep the rate at 3.75 per cent, in line with the expectations of most economists. Policymakers have kept the rate at that level since December after four rate cuts in 2025.