Andrew Billy says that interest rates in the UK depend on slowing wage growth.

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Bank of England officials said on Tuesday that interest rates in the UK will depend on whether wage growth slows down as expected throughout the year, against the backdrop of global economic uncertainty.

Andrew Billy, the governor of the Bank of England, said he voted to reduce the record price by a The quarter point to 4.25 percent Last month, mainly because the labor market has eased and companies expect to obtain less paid prizes – with unrest in the world trade policy and then tends his point of view towards the reduction.

“We have a point of view that we will see the wages declining this year,” said the selected treasury committee in the House of Commons.

“This will be an important judgment to move forward, which is why” gradually and cautiously, “Billy added.

Sarah Brenden, a deputy governor of Pyros State Council, told deputies that she had seen enough evidence to weaken the job market to justify her vote to reduce average, even before size in the disturbances caused by Donald Trump’s tariff.

But Catherine Man – who voted to leave prices hanging by 4.5 percent – said she was concerned about the recent fluctuations in the financial markets, and a more volatile environment Economic inflation It can affect behavior.

If inflation – that struck The highest 15 months of 3.5 percent In April-it rose above 4 percent due to the short-term global factors, for example, “the threshold of consumer positions” was.

the BiThe interest rate reduction last month represents the fourth reduction since last summer, as it took the cost of borrowing to its lowest level since 2023.

However, the decision-which was taken as an American president, launched the “Liberation Day” in the definition attack-also revealed a triple division.

Under the leadership of Pelly, most of the five MPC members supported this reduction, while two preferred a larger, a half and a half-points and a chief economist HUW Pill- who does not want to change rates.

Billy said that in addition to the uncertainty about the transformations and turns in world trade policies, the impact of definitions on inflation remained mysterious: the result may be on global growth on prices, but disruption in providing chains can have an opposite impact.

Billy said that the trade deal agreed with the United States can alleviate the immediate effects, but “it still leaves the average level of tariffs higher than it was before all of this.” “What affects our economy is always what the rest of the world does.”

Billy and other MPC members said that Britain’s commercial agreements with the European Union and India will have long -term advantages, however, Billy and other members of MPC.

Swati Dingra, an external MPC member, said to reduce the rate of 0.5 points last month, that the commercial barriers after Britain left the European Union means that the UK economy has entered both and has come out of the epidemic in a place that is much weaker than its peers, with its share of volatile global services “although we are such high -strength services.”

Dingra said commercial deals can “save the tide” and pay off in the future.