BOE Holds Key Rate Steady, Cuts Growth Forecast

The Bank of England has kept its interest rate unchanged at 0.25% and maintained its asset purchase program at 435 billion. The vote was six to two in favor of keeping rates steady. Market reactions show a slight decline in the sterling, with expectations of more tightening than currently priced in. The Bank's GDP forecast for 2017 is 1.7%, with a slight decrease for 2018. Inflation forecasts remain stable, but wage growth projections have been cut, indicating potential slack in the economy.

What does the Bank of England's forecast suggest about wage growth for 2018?

What is the implication of the Bank of England cutting wage growth forecasts?