Hush money: Bank of England pressured to find ‘missing’ £50bn in cash December 4, 2020 The Bank of England must launch an investigation to find £50bn of “missing” banknotes that have been “stashed” around the country, the government’s spending committee has warned. In a rare exchange with Threadneedle Street, the Public Accounts Committee (PAC) today called on the Bank to “get a better handle on the national currency it controls”. [...]
BoE’s Haldane sees inflation risks as economies bounce back November 29, 2020 Bank of England chief economist Andy Haldane said inflation could rise by more than expected as progress on Covid-19 vaccines and huge amounts of stimulus raised the chances of a swift economic bounce-back. “As the economic recovery gathers pace next year, it will be important central banks remain squarely focussed on their core medium-term price stability mandates,” Haldane said in a speech [...]
BoE boss says Rishi Sunak right to spend big on Covid November 26, 2020 Bank of England governor Andrew Bailey backed chancellor Rishi Sunak’s approach to the public finances, saying he is right to throw the might of the state behind the coronavirus suppression effort. “It is absolutely sensible that public resources, resources of the state, are being used to cushion the huge impact of this absolutely unprecedented shock,” [...]
BoE’s Andy Haldane: Digital currencies could cut risk and boost lending November 18, 2020 Digital currencies could reduce risk in the financial system and aid monetary policy with interest rates close to rock bottom, Bank of England chief economist Andy Haldane has said. Haldane also told The City UK’s annual conference that new technological infrastructure should be considered to help small and medium-sized businesses better access finance after years [...]
BoE governor Andrew Bailey: Vaccine ‘a big step forward’ for UK economy November 17, 2020 Bank of England governor Andrew Bailey has called the development of seemingly effective coronavirus vaccines “a big step forward” for the economy that could help lower uncertainty and get firms investing again. Speaking at lobby group The City UK’s conference, Bailey said both coronavirus and Brexit had “increased uncertainty” and “restrained investment”. He also said [...]
BoE’s Cunliffe: ‘Not our job’ to protect banks from digital currencies November 13, 2020 Bank of England deputy governor Jon Cunliffe has said it is not the bank’s job to protect other banks from the impact of future digital currencies. Speaking an on online seminar today, Cunliffe said: “Our job is not to protect bank business models. Banks will have to adjust. Our job is to ensure that if [...]
ECB turns to emergency bonds and ultra-cheap loans to control financial costs November 12, 2020 The ECB will use its emergency bond-buying and ultra-cheap loans to banks as the primary instruments to control financing costs, European Central Bank president Christine Lagarde told the ECB’s annual forum on central banking this evening. The EU heavyweight said financing costs for governments, households and businesses in the eurozone will stay “exceptionally favourable” until [...]
Brexit news could change outcome of BoE’s December meeting, says Bailey November 12, 2020 Developments in the ongoing trade talks between the UK and EU could affect the chance of the Bank of England’s monetary policy committee (MPC) taking action at its December meeting, governor Andrew Bailey said. Asked if Brexit developments could make the MPC’s next meeting “live”, Bailey said: “I’m sure we will have more information, so [...]
‘Positive evidence’ on negative interest rates, says BoE policymaker Tenreyro November 11, 2020 Bank of England policymaker Silvana Tenreyro said there was “positive evidence” that negative interest rates could help banks and the wider economy amid the downturn caused by Covid-19. “The positive evidence related to negative interest rate policy comes from Europe, where it has worked fairly well,” Tenreyro said in an interview with the Yorkshire Post. [...]
Bank of England goes big with £150bn stimulus amid second lockdown November 5, 2020 The Bank of England will inject £150bn more stimulus into the UK economy to help it handle a new England-wide lockdown, and predicted that growth would go into reverse in the final three months of the year. The big increase in bond-buying – which came as the BoE left interest rates untouched at 0.1 per [...]