Uk Interest Rate Projections 2025 Predictions. Analysts at morgan stanley predict uk interest rates will fall to 3.5 per cent by the end of this year, while goldman sachs says interest rates will fall to 3.25 per cent by june next year. But predictions on how far they’ll go down depends on who you ask.

The bank saw interest rates at 4.2% in 2025 before falling down to 3.5% in 2027. In terms of the uk interest rate forecast for the next five years, the boe itself gave forecasts as far as 2027 in their august monetary report.