A big moment to reveal likely path aheadpublished at 11:15 GMT
Faisal Islam
Economics editor
Previous expectations of a cut to interest rates have diminished, since the rapid rise in energy prices due to hostilities in the Gulf.
Most economists and the markets expect a hold, but this is an important moment for the Bank of England and the markets.
In the minutes of the Bank’s deliberations and in public comments, more detail will be revealed about the likely path of inflation and how it will be viewed by those who set interest rates.
Some economists believe a possibly temporary energy spike can be ignored and the Bank should stay on the path of rate cuts at some point.
Others see worst-case scenarios and the possibility of full-on energy shock driving inflation back up to 4 or 5%. In those circumstances it is possible that the next move in rates, when it comes, could be up not down
The markets have already significantly pushed up effective borrowing rates for government debt, and also for fixed rate mortgages.
The US central bank, the Federal Reserve, last night held rates, increased its forecasts for inflation and discussed a possible need to raise its rates.
As the crossfire from Israel and Iran saw some of the world’s most important energy facilities ablaze, oil and gas prices spiked higher last night. An escalating conflict, with damage that will take months or years to fix, is increasingly being priced in.