Despite the unemployment rate reaching a new high, the Bank of England's Governor, Andrew Bailey, still supports keeping the interest rate unchanged.

On November 11, Bank of England member Green indicated that she continues to support keeping interest rates unchanged, despite data released on Tuesday showing that the UK's unemployment rate has risen to its highest level since the pandemic. Green stated that she believes the worst period for the labor market is over and warned that businesses are forecasting higher wage growth. Just hours before Green's comments, official data showed that the unemployment rate rose to 5% in the three months to September, above economists' expectations of 4.9%, marking the highest level since early 2021. Traders reacted by increasing bets on a rate cut by the Bank of England, with the market currently pricing in over an 80% chance of a rate cut in December. Green is one of the more hawkish members of the nine-member monetary policy committee. Last week, she supported the majority's decision to keep interest rates unchanged, while four other officials wanted to cut rates by another 25 basis points. She described the current policy stance as not being 'meaningfully restrictive.' (Jin10)