Rising inflation is also dampening the chances of another Bank Rate cut this year.

Despite Bank Rate being reduced earlier this month, swap rates have continued to rise.

Mann says she stands ready for "forceful policy action" in the future.

Only 9% suggested there would be no more cuts from the MPC by February 2026.

Industry experts are now split on when the Bank of England will next cut interest rates.

GDP data provides some relief for Reeves ahead of the Autumn Budget, economists say.

The latest forecast from the Bank now shows inflation peaking at 4% in September, up from its previous prediction of 3.7%

CPI inflation is now nearly double the Bank’s 2% target.

Markets are now pricing in an August cut to Bank Rate.

The current policy is still too restrictive, Taylor says.