BoE Holds at 3.75% Amid Energy Inflation Risks, 70% June Hike Priced

The Bank of England held Bank Rate steady at 3.75% on April 30, 2026, in an 8-1 vote with Huw Pill dissenting for a 25bp hike due to Middle East-driven CPI at 3.3% and second-round effects. Coverage evolved to emphasize the April Monetary Policy Report's three energy scenarios, including an adverse case projecting CPI to 5.6% by 2027 Q2. By May 1, focus shifted to energy-driven inflation complicating the path ahead. Traders price 70% odds of a June hike and 70bp tightening by year-end, leaving Great British Pound vs US Dollar neutral near $1.27 but with sterling upside on persistent pressures.