TUC calls for “sequence of rate cuts” in coming months to ease pressure on households and firms

18 Dec 2025 11:13 AM

TUC General Secretary Paul Nowak comments on the latest inflation figures showing a larger than expected fall of 0.4 points in CPI from 3.6 in October to 3.2 per cent in November    

"Inflation may be falling, but many working people are still struggling to afford the basics. 

“The government acted to protect living standards and push back against inflation in last month’s Budget, but more must be done.  

“The economy is fragile and high interest rates are draining confidence from households and firms. It’s vital that we now boost demand.  

“The Bank of England has been too cautious this year, and inflation is already lower than they expected only last month. So an interest rate cut this week must be the start of a sequence of reductions over the months ahead. It’s long overdue and it’s the shot in the arm that the economy needs. 

“Lower rates will give firms the confidence to invest and help get more households spending.” 

Notes to editors: 

- RPI inflation fell 0.5 points to 3.8% in November from 4.3% in October 

- About the TUC: The Trades Union Congress (TUC) exists to make the working world a better place for everyone. We bring together the 5.3 million working people who make up our 47 member unions. We support unions to grow and thrive, and we stand up for everyone who works for a living. 

Inflation and price indices