The Bank of England raised interest rates from 0.1 percent to 0.25 percent, the first increase in more than three years.
The financial markets surprised on Thursday for the second month in a row and voted 8: 1 for higher interest rates. The bank’s monetary policy committee decided it couldn’t wait any longer to cut spending in the economy.
The BoE said the strength of the economy meant the conditions for a rate hike were in place and Omicron’s inflation impact was “unclear at this point.”
She added that she expects UK inflation to climb to around 6 percent in the spring.
