LONDON, Dec 19 (Reuters) - The pound slipped on Thursday

after the Bank of England held interest rates but three

policymakers voted to lower borrowing costs, denting a rebound

against the dollar as markets swung in the wake of the Federal

Reserve's decision on Wednesday.

Britain's 10-year government bond yield fell and

was last up 1 basis point at 4.569%, from 4.598% before the

decision. The BoE held rates at 4.75%.

The U.S. Fed cut interest rates on Wednesday but

policymakers said they now envisage fewer rate cuts next year,

sending the dollar surging and the pound down more than 1%.

British bond yields rose on Thursday before the BoE

decision, reflecting a jump in U.S. government yields overnight.

Yields move inversely to prices.

The UK's FTSE 100 was last down 1.1%, having traded

around 1.4% lower before the BoE's announcement, after a sharp

sell-off in U.S. stocks on Wednesday.