UK statistics
UK Bank Rate 2026: 3.75% Held + MPC Vote
The Bank of England Monetary Policy Committee voted by majority of 7-2 to maintain the Bank Rate at 3.75% at its meeting ending 17 June 2026, with two members favouring a 25bps rise to 4.00%. CPI inflation has fallen to 2.8%, although the MPC noted it is expected to rise later in 2026 as energy-price effects pass through. The next MPC decision is scheduled for 30 July 2026.
Headline numbers
- UK Bank Rate June 2026
- 3.75%
- UK CPI inflation
- 2.8%
- MPC vote split
- 7-2
held 7-2 vote, BoE MPC
most recent reading June 2026
2 members favoured +25bps
The detail
Bank Rate sets the floor for UK mortgage, business and personal lending. At 3.75% (effective since a December 2025 cut) it remains well below the 5.25% peak held from August 2023 until the cutting cycle began with a 25bps cut in July 2024.
The 17 June 2026 decision held rather than cut. Two MPC members dissented for a 25bps rise to 4.00%, citing CPI risk as energy-price base effects fade and Middle East tensions feed into global energy markets. The hawkish split signals the cutting cycle may be over for now, with the next decision due 30 July 2026.
Bank Rate is the policy rate, not what most borrowers pay. As of 16 July 2026 the average 2-year fixed mortgage is 4.6% among the big six lenders (75% LTV) but 5.06% across the wider market; the average Standard Variable Rate (SVR) is 6.49% (big six) to 7.34% (market-wide).
Savings rates have held up. NS&I raised its Premium Bonds prize-fund rate to 3.80% tax-free from the July 2026 draw (up from 3.30%), plus its Direct Saver, Income Bonds and ISA rates. Top easy-access cash ISAs pay up to 4.51%, top 1-year fixes up to 4.70%, though major banks own-brand rates sit lower. With the Personal Savings Allowance frozen at £1,000 / £500 / £0, more savers are crossing into taxable territory than in the zero-rate era.
Sources
- Bank of England - Bank Rate maintained at 3.75% (17 June 2026 MPC Summary) (retrieved 2026-06-22)
- Bank of England - Interest rates and Bank Rate: latest decision (retrieved 2026-06-22)
- NS&I - Improved rates for Premium Bonds and four other NS&I savings accounts (retrieved 2026-07-16)
- Uswitch (data from Mojo Mortgages) - current UK mortgage rates (retrieved 2026-07-16)
- Our methodology & full source list →
Related statistics
- Average house price
The ONS House Price Index put the average UK house price at £270,000 in the 12 months to April 2026 - up 3.8%. Country split: England £290,000 (+0.8%), Wales £210,000 (+2.5%), Scotland £187,000 (+2.3%), Northern Ireland £198,000 (+7.4%). London is the only English region with falling prices (-2.1%); the North East is fastest rising at +9.9%.
- UK household saving ratio
The UK household saving ratio - the share of disposable income that households save rather than spend - was 9.9% in Q4 2025 per ONS Quarterly Sector Accounts (released 31 March 2026). The figure follows 10.9% in Q1 2025 and 9.5% in Q3 2025, suggesting the saving rate is normalising downwards from the pandemic-driven peak above 23% in Q2 2020 but remains above the pre-pandemic 5-7% range.
- UK Tax Burden
Effective combined tax (Income Tax + NI) rises from around 18% on a £30,000 salary to 38% on £150,000 for 2026/27 - not the headline marginal rate but the blended total-tax share.