Economic Review December 2025

In our Economic Review of December – the Bank of England (BoE) warn further reductions were likely to become a ‘closer call,’ analysts suggest uncertainty ahead of the Budget affected growth, negatively impacting both consumer and business spending levels and retail conditions remain challenging.

• We still think rates are on a gradual path downward… how much further we go becomes a closer call”
• The BoE Governor recently warned about the impact AI could exert on employment
• ONS statistics show retail sales volumes fell 0.1% in November, below analysts’ expectations