The Bank rate, set by the Monetary Policy Committee,is unchanged at 5.25%.
Another hold may bring some relief to homeowners who have seen mortgage rates rise and potentially the end of better news for savers.
The Bank rate is currently at its highest level for 15 years.
The theory is that raising interest rates makes it more expensive to borrow money, meaning people have less to spend, reducing demand and inflation.
Rates had risen 14 times in a row since December 2021 as the Bank tries to bring inflation closer to its target of 2%.
Pricesrose by 6.7% in the year to September, according to the Office for National Statistics (ONS). This was the same as the year to August, but down from the peak of 11.1% in October 2022.
Although that is still more than three times the Bank's target, falls have influenced the decision to pause the run of Bank rate rises. That most recent decision was split, with six of the nine-member committee voting for a pause.
Policymakers will be keeping a close eye on the "core inflation" rate - a measure which strips out volatile factors such as food and energy.
The chances of rates actually starting to fall again look slim at the moment.
At one point, UK rates were expected to rise above 6%, but that peak is now expected to be lower, even if there is a rise at a later date.
The Bank has to balance the risk of damaging the economy, which has shown little sign of growth, with the need to slow price rises.
Its Monetary Policy Committeemeets eight times a year to decide rates.
Mortgages
Just under a third of households have a mortgage, according tothe government's English Housing Survey.
When interest rates rise or fall, more than 1.4 million people on tracker and standard variable rate (SVR) deals usually see an immediate change in their monthly payments.
Despite the pause in rises, compared with December 2021, those on a tracker mortgage are still paying Â£540 more a month, and those on an SVR are paying Â£299 more a month.
Around three-quarters of mortgage customers hold fixed-rate deals. Lenders may now have some confidence to lower mortgage rates, although they are still much higher than much of the last 10 years.
Comparatively high interest rates mean house buyers and those remortgaging will have to pay a lot more than if they had taken out the same mortgage a year or more ago.
As people roll off cheap fixed-rate deals on to products with much higher rates, monthly repayments can soar by hundreds of pounds. Banking trade body UK Finance says there are about 800,000 fixed-rate deals ending in the second half of 2023, and about 1.6 million deals expiring next year.
The Institute for Fiscal Studies, a politically independent think tank, has warned that rising interest ratescould mean 1.4 million mortgage holders see their disposable income fall by more than 20%.
You can see how your mortgage may be affected by using our calculator:
Credit cards and loans
Bank of England interest rates also influence the amount charged on credit cards, bank loans and car loans.
Bank statistics show that in September,the average annual interest rate was 22.49% on bank overdrafts and 20.89% on credit cards. The average rate for personal loans was 8.73%, down slightly on the previous month.
Lenders could decide to put their rates up, if they expect higher interest rates from the Bank of England in the future.
Savings
Individual banks and building societies have been under pressure to pass on higher interest rate rises to customers.
There are some good deals on the market already, so analysts say that customers should shop around, as many will be on accounts paying little or nothing.
The UK's financial watchdoghas warned that banks will face "robust action" if they offer unjustifiably low savings rates to their customers.
Although many savings accounts are paying more, even the best interest rates aren't keeping up with inflation.
This means the value of cash savings - its buying power - is falling in real terms.
Inflation has been relatively high worldwide, after Covid restrictions eased and consumers spent more.
Many firms experienced problems getting enough goods to sell. Oil and gas costs were also higher than they had been - a problem made worse by Russia's invasion of Ukraine.
Although many elements of inflation are global, there are also domestic factors at play in the UK, including rising wages.
Interest rates have been increasing across the world in recent months.
The UK has had one of the highest rates in the G7 - a group of the world's seven largest so-called "advanced" economies.
It is higher than the Euro area and the US.
The Bank of England has held interest rates for a second time in a row following a run of 14 consecutive increases.