If tariffs are announced, their effect on the global economy and inflation would need to be looked at, he told CNBC's Steve Sedgwick.

"We expect to be able to cut bank rate further as the disinflation process continues, but we will have to judge meeting by meeting, how far and how fast," Bailey told a news conference

The central bank says inflation has come down enough to reduce rates again, but further cuts are up-in-the-air given higher-than-expected inflation on one hand but a weaker economy on the other