The Bank of England is likely to maintain the current interest rates, disappointing numerous borrowers. Financial experts predict that the Monetary Policy Committee’s nine members will opt to keep the base rate steady at 3.75%, citing a recent uptick in inflation.
The committee is scheduled to reveal its decision on Thursday at midday, with particular attention on the meeting minutes for insights into potential future rate adjustments. Despite a rise in inflation to 3.4%, the first increase since July 2025, the Bank anticipates inflation to approach 2% by the middle of the following year.
While a rate freeze this month may pose challenges for mortgage holders, it offers a respite for savers who have experienced declines in their deposits. Victoria Scholar, Interactive Investor’s head of investment, emphasized the importance of Thursday’s announcement, indicating a possible 25 basis points rate cut by the Bank of England in March or April, contingent on the latest economic data.
In other news, the average individual made only 15 visits to ATMs in 2025, according to Link, the ATM network operator. The average cash withdrawal last year was £1,352, marking a 5% decrease compared to the previous year. Overall, individuals aged 16 and above made 832 million cash withdrawals in 2025, a 9% decline from 2024.
Premium Bond holders in Liverpool and Bedfordshire have each won a £1 million prize, confirmed by National Savings & Investments. The winning Bond numbers are 489TB013219 from Central Bedfordshire and 040QJ919368 from Liverpool. Both winners hold the maximum £50,000 in Premium Bonds and were among the 6.1 million prizes totaling £408 million drawn by ERNIE this month.
Nationwide Building Society reported a 0.3% recovery in the average house price last month following a December decline, with an annual increase of 1% in January, bringing the average house price to £270,873. Nationwide’s chief economist, Robert Gardner, anticipates a rebound in housing market activity in the upcoming quarters, especially if the affordability trend continues.
Gold and silver prices have sharply fallen from their record highs in response to US President Donald Trump’s nomination for the next Federal Reserve chairman. Gold dropped 7% to just over $4,500 per troy ounce, while silver plummeted 13% to $74. The sell-off commenced following Trump’s selection of Kevin Warsh as the potential successor to Jerome Powell, calming investor concerns and boosting the US dollar, leading to a decline in safe-haven investments like gold and silver.