The Bank of England on Thursday kept its key interest rate at a 16-year high despite slowing UK inflation, opting against a cut before Britain's general election next month. "It's good news that inflation has returned to... target," Bank of England governor Andrew Bailey said following the regular policy meeting. "Bets have increased now that a rate cut will come in August, but financial markets are still not fully pricing in a rate cut until September," she added. - 'Election not relevant' -Analysts added that the UK central bank would have wanted to avoid a decision Thursday that could have been perceived as taking sides during a high-profile election campaign. The BoE's main role is to keep the UK annual inflation rate close to two percent.
