On September 19, the Bank of England kept its benchmark interest rate unchanged after August inflation figures remained flat, with market expectations for another rate cut before the end of the year growing stronger. The Bank of England cut rates for the first time last month, lowering the interest rate level by 25 basis points. Inflation in the UK has been gradually easing this year, falling from 4% in January to 2.2% in August, slightly above the 2% low recorded in May and June. However, last month's inflation rate was unchanged from July, as rising airfare prices offset declines in fuel and restaurant prices. UK services inflation has remained elevated, one of the key concerns for the Bank of England's Monetary Policy Committee. James Smith, UK economist at ING, said continued declines in both expected and actual wage and price growth in recent months suggest further rate cuts ahead. "Coupled with continued cooling in the labor market, we believe the broad consensus at the Bank of England will turn to support an acceleration of rate cuts throughout the winter," he added. "We expect rate cuts to begin in November and continue until the bank rate reaches 3.25% by next summer." (Gold Ten)