The Monetary Policy Committee split was consistent with forecasts, as three members advocated for a 25-basis-point increase. However, the majority opted for stability, citing the need to navigate an economy reeling from a global energy crisis exacerbated by the conflict in Iran. The central bank highlighted that UK CPI inflation reached 3.1% in August, warning that further increases are likely in the coming quarters as the economy adjusts to energy shocks.

Following the announcement, spot gold surged to £3,237.07 per ounce, marking a 1.58% daily gain against the British pound. This momentum extended to the global market, where gold rose 1.48% to trade at $4,325.60 per ounce. The move serves as a rebound from Wednesday’s decline, which was triggered by the Federal Reserve’s decision to raise rates and its signal that another hike remains on the table before the end of the year.