Why an expert is predicting a dramatic fall in interest rates during 2026 | The IndependentNotifications can be managed in browser preferences.Jump to contentIndependentSwipe for next articleIndependent Bulletin homepageDownload ourSocial PartnerWe are 8 logo (opens in a new tab)AllNewsSportCultureLifestyleKarl MatchettFriday 02 January 2026 12:08 GMTCould interest rates fall further this year? (PA)Finance expert Bill Papadakis predicts the Bank of England could cut interest rates to 2.75 per cent by the end of summer.This forecast suggests four rate cuts, matching last year's total reductions but within a seven-month period.Papadakis believes rising unemployment and falling services inflation will prompt the Monetary Policy Committee to act faster to support the economy.However, this prediction is an outlier, as other analysts and money markets anticipate fewer rate cuts for the year.The Bank of England must balance inflation, which remains above its 2 per cent target, with economic support and future-looking data.In fullExpert tips dramatic interest rates cut to 2.75% driven by unemploymentThank you for registeringPlease refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in