JUST IN: Bank of England raises interest rate to 3 highest increase in 33 years

The Bank of England has raised its interest rates from 2.25 percent to 3 percent – its highest rate hike since 1989.

This is the eighth time in a row that the central bank of the United Kingdom has hiked interest rates.

On Thursday, the bank’s monetary policy committee (MPC) voted by a majority of seven to two, to increase the base rate of interest by 0.75 percentage points.

The MPC blamed higher energy prices and a tight labour market for the decision to increase rates.