New Delhi, Aug. 9 -- The Bank of England cut its main interest rate Thursday by a quarter percentage point to 4%, as policy makers seek to bolster the sluggish U.K. economy.

Thursday's decision was widely anticipated in financial markets as the bank's Monetary Policy Committee balances its responsibility to control inflation against concern that rising taxes and U.S. President Donald Trump's global trade war may slow economic growth. The committee voted 5-4 in favor of the cut.

The rate cut is the bank's fifth since last August, when policy makers began lowering borrowing costs from a 16-year high of 5.25%. The Bank of England's key rate - a benchmark for mortgages as well as consumer and business loans - is now at the lowest level sinc...