The Bank of England cut interest rates on Thursday to tackle the expected hit from U.S. President Donald Trump's tariffs but a surprise three-way split among policymakers cooled expectations that it might speed up future moves.

The decision in favour of a cut was clear on the committee. Two members of the MPC — Alan Taylor and Swati Dhingra — voted for a larger 0.5 percentage point rate reduction, while two others — Catherine Mann and Huw Pill — voted for a hold, justifying it by pointing to a still-resilient labour market and rising inflation expectations.

The Bank of England is widely expected to cut interest rates on Thursday as a result of the potential shock to growth emanating from the tariff policies of the Trump administration