BOE Bank Rate vs Fed Funds Rate
BoE Bank Rate (FRED IUDSOIA, Bank of England official Bank Rate) is UK policy rate. Federal Funds Rate (FRED FEDFUNDS) is US policy rate.
Also known as: BoE Bank Rate (BoE rate, Bank Rate, UK rate) · Federal Funds Rate (fed rate, interest rate)
Why This Comparison Matters
BoE Bank Rate (FRED IUDSOIA, Bank of England official Bank Rate) is UK policy rate. Federal Funds Rate (FRED FEDFUNDS) is US policy rate. April 2026: BoE Bank Rate 3.75 percent (paused December 2025); Fed funds rate 3.50-3.75 percent (paused since December 2024). Effectively parallel policy rates. The BoE-Fed differential captures transatlantic monetary policy. UK inflation 4 percent expectations vs US persistent inflation (core PCE 3.0 percent, supercore 4 percent). Markets price 2 BoE quarter-point hikes 2026 with possibility of third (Bailey pushback). Both BoE+ECB decisions April 30, 2026 (unusual calendar clash). GBP/USD $1.345-$1.35 (recovered from 2024 lows of $1.21).
The April 2026 Configuration
BoE Bank Rate 3.75 percent (April 2026, paused since December 2025). Fed funds rate 3.50-3.75 percent (paused since December 2024). BoE-Fed differential approximately 0-25bp (BoE marginally above Fed).
BoE cycle: cut 175bp from peak 5.50% (August 2024 first cut) to 3.75% (December 2025 last cut). Then paused.
Fed cycle: cut 100bp from peak 5.50% (September 2024 first cut) to 3.50-3.75% (December 2024 last cut). Then paused.
Markets price 2 BoE quarter-point hikes 2026 with possibility of third (Bailey pushback against premature cuts).
The combined April 2026 reading: BoE and Fed both paused. UK inflation expectations 4% (BoE concerned). Both BoE+ECB
90-Day Statistics
No data available
Explore Each Metric
Related Scenarios & Forecasts
Get daily macro analysis comparing key metrics delivered to your inbox. Stay ahead of market-moving divergences.
Frequently Asked Questions
What are BoE Bank Rate and Fed Funds Rate?+
BoE Bank Rate (FRED IUDSOIA, Bank of England official Bank Rate) is UK policy rate. Federal Funds Rate (FRED FEDFUNDS) is US policy rate. April 2026: BoE Bank Rate 3.75% (paused since December 2025); Fed funds rate 3.50-3.75% (paused since December 2024). Effectively parallel policy rates. BoE-Fed differential approximately 0-25bp (BoE marginally above Fed). BoE cycle: cut 175bp from peak 5.50% (August 2024 first cut) to 3.75%. Fed cycle: cut 100bp from peak 5.50% (September 2024 first cut) to 3.50-3.75% (December 2024 last cut). Markets price 2 BoE quarter-point hikes 2026 with possibility of third (Bailey pushback). Both BoE+ECB decisions April 30 2026.
How do BoE and Fed differ in inflation/growth?+
BoE context: UK inflation CPI 3.5% (April 2026), CPI services 4.5% (services particularly sticky). UK wage growth +5.5%. UK growth weak (Q1 2026 +0.2% GDP). BoE concerned about wage-price spiral. Fed context: US inflation core PCE 3.0%, supercore 4% (stuck), Michigan 5-year 3.5%. Growth modest. Fed paused awaiting evidence. Both face inflation persistence concerns. BoE has stronger wage growth + services inflation. Fed has stronger labor market signals. BoE potential to hike if inflation persists. Fed potential to cut if growth deteriorates.
What is the 2024-2025 cutting cycle?+
BoE began cutting August 2024 from peak 5.50%. Cut 175bp through December 2025 to 3.75%. Then paused. Reflects: UK inflation moderating from peaks; growth weakness; need for accommodation. Fed began cutting September 2024 from peak 5.50%. Cut 100bp through December 2024 to 3.50-3.75%. Then paused. Reflects: US inflation persistence preventing further cuts. BoE more aggressive cutting than Fed. April 2026: both paused. BoE 3.75%; Fed 3.50-3.75%. Effectively equal. Differential historically narrow.
Related Comparisons
Explore Across Convex
Data sourced from FRED, CoinGecko, CBOE, and other providers. This page is for informational purposes only and does not constitute financial advice. Past performance does not guarantee future results.