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Standard Chartered now expects the Bank of England to raise rates by 25 basis points in February 2027, a shift from its prior call for no hikes after November 2026. The revision implies the central bank may extend or resume tightening beyond its earlier projected stopping point. The change matters because it signals a less dovish policy path than previously assumed, which could feed into gilt yields and sterling rate expectations. Watch for whether other forecasters follow with similar 2027 hike calls and for BOE commentary that either supports or pushes back against the revised timeline.

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Bank of England, Standard Chartered