The markets and economists expect the Bank of England will cut its bank rate by 25 basis point to 4.75% on Thursday. It will be the second such reduction in borrowing costs since the U.K. central bank began easing policy in August.

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

Interest rates are widely expected to be cut by the Bank of England on Thursday, in a move closely watched by businesses and consumers.Most analysts predict that the benchmark rate will fall from its current level of 5% to 4.