Institution: The possibility of a cut in the UK's base interest rate now may be greater than an increase.

Suren Thiru of the Institute of Chartered Accountants in England and Wales said in a report that the next steps by the Bank of England are more likely to be a cut in interest rates rather than an increase. Thiru stated that after the central bank kept rates unchanged at 3.75% on Thursday, with geopolitical uncertainty and domestic political instability being evaluated, its policy may remain unchanged for the long term. "The UK monetary policy is currently at a crossroads." He said that the peace agreement between the US and Iran gives hope for easing inflation, but any resumption of hostilities could quickly tip the balance back towards a rate hike. Additionally, Thiru said that given the increasing global turmoil, a rate cut is unlikely before next year.