The Bank of England plans to slow down its pace of reducing government bond holdings due to bond market volatility, keeping interest rates steady. Since 2022, the BoE has reduced gilt holdings from £875 billion to £558 billion, selling at a pace of £100 billion annually. Economists predict the MPC will decrease the pace to £67.5 billion. British inflation hit 3.8% in July, the highest in G7 economies, with expectations to reach 4% this month. The BoE may cut rates further as inflation pressures ease, despite market expectations of a cut in November or December.

Read more at Yahoo Finance: Bank of England to scale back QT, keep rates steady