The early trading session on Thursday saw European stock markets making gains, with London's FTSE 100 edging closer to a record high just ahead of a crucial decision by the Bank of England regarding interest rates.

London's FTSE 100 index saw a modest increase of almost 0.1 percent, reaching 8,369.93 points, setting the stage for what could be a pivotal moment with the Bank of England's rate decision looming at 1100 GMT.

Meanwhile, in the eurozone, both Frankfurt's DAX index and Paris's CAC 40 index also experienced gains, with the DAX rising by 0.3 percent to 18,559.57 points and the CAC 40 slightly up at 8,134.18 points.

Investors' focus was on the Bank of England's decision, widely anticipated to maintain the current main interest rate at 5.25 percent. This stance reflects the Bank's cautious approach amid the backdrop of UK inflation cooling at a slower pace than initially projected.

The decision to hold rates steady aligns with similar strategies adopted by the US Federal Reserve and the European Central Bank, emphasizing a collective 'wait-and-see' approach among major central banks.