Bank of England set to sit tight on rates as uncertainty mounts

• BoE expected to keep Bank Rate on hold at 4.5%
• Central bank has stressed it will move carefully
• Big uncertainties ahead over US trade policy
• BoE also watching impact of UK tax hike for employers
• Economists mostly expect 3 more cuts this year

LONDON, March 20 (Reuters) - The Bank of England looks set to keep interest rates on hold on Thursday as it awaits the impact on the economy of U.S. President Donald Trump's trade tariff onslaught and of the British government's imminent tax hike for employers.

With UK inflation stuck firmly above its 2% target, the BoE has cut borrowing costs by less than the European Central Bank and the U.S. Federal Reserve since last summer, contributing to the country's sluggish growth rate.