ANZ Bank economist Bansi Madhavani expects the Bank of England to hold its benchmark interest rate at 5.0% at its September policy meeting. She believes the central bank will take a gradual approach in the early stages of the easing cycle, given that service inflation is far from being consistent with the target of 2% inflation. The Bank of England cut rates in August and may do so again in November. Madhavani said weak economic activity and progress in lowering inflation will pave the way for a 150 basis point rate cut in this easing cycle.