The Bank of England on Thursday said it was cutting its key interest further after UK inflation hit a three-year low and signalled more reductions, easing pressure on borrowers. Sweden's central bank slashed borrowing costs by 0.5 basis points Thursday -- its fourth this year and biggest reduction in a decade -- while Norway made no change.

The Bank of England on Thursday said it was cutting its key interest further after UK inflation hit a three-year low and signalled more reductions, easing pressure on borrowers. Sweden's central bank slashed borrowing costs by 0.5 basis points Thursday -- its fourth this year and biggest reduction in a decade -- while Norway made no change.

UK householders given key advice on what the interest rate cut means for your personal spending, borrowing and saving

The bank has now sliced the base rate from 5 percent down to 4.75 percent

The central bank said that future cuts would be gradual after spending increases were introduced in the government’s new budget.

Experts said inflation falling below the Bank’s 2% target level encouraged policymakers to continue easing interest rates

The Bank of England trimmed interest rates on Thursday for the second time this year, as widely expected.

The Bank’s Monetary Policy Committee (MPC) are meeting today to decide whether to cut the base rate for the second time this year

The Bank of England cut its main interest rate by a quarter of a percentage point on Thursday after inflation across the U.K. fell below its target rate of 2%.