/ VIEW: Citi expect a 6-2 majority vote to......>

BOE: / VIEW: Citi expect a 6-2 majority vote to keep monetary policy unchanged

next week due to the "mounting evidence of economic slowdown".

- "Until there is more clarity about the Brexit deal, the BoE will probably

abstain from adding to that fragility by hiking rates. We expect the first step

in November 2019", Citi say.

- However, add that the "shift" in the government's stance towards a soft Brexit

could lead to a "relief recovery" from 2019 onwards and "force BoE to tighten

policy less gradually than currently anticipated".

- Citi see one 25bp rate hike in 2019, two more by end of 2020 to bring rate to

1% and now expect four hikes in 2021 compared to two previously, leaving rate at

2.0% by the end of that year. Could see BoE unwind Stg435bln stock of Gilts in

2021 as well.