Week 43 · 2026 19 Oct - 25 Oct 2026
Published 24 Oct 2026 Autumn Budget Clock Ticks Down as BoE Rate Relief Meets Inflation Rebound
Chancellor John Healey prepares the 28 October fiscal statement while UK mortgage lenders adjust to the 3.75% Bank Rate cut amidst a surprise 3.5% CPI uptick. In the US, the 10-Year Treasury yield hovers at 4.24%.
Bank Rate 3.75% 25bps easing cycle initiated
UK CPI 3.5% +0.4% from August
US 10Y Yield 4.24% Bond market range-bound
GBP / USD $1.3368 Pound holds recent gains
Key Developments This Week
- ▸ Bank of England base rate holds at 3.75% following the recent 25bps trim, but September CPI ticked up to 3.5%, limiting immediate December cut expectations.
- ▸ The UK Autumn Budget on 28 October looms large: threshold freezes extending to 2031 create substantial fiscal drag across middle earners.
- ▸ US 30-Year fixed mortgages average 6.44%, while benchmark 10-Year Treasury yields test 4.24% on resilient consumer spending data.
- ▸ Cash ISA savers face a narrowing window before the April 2027 £12,000 under-65 cap rules take effect.