In the News
Bank of England preparing ground for negative interest rates
13th October 2020
The latest noises from the Bank of England imply that the possibility of the Bank adopting negative interest rates has moved closer.
There is news here that it has surveyed commercial banks asking about their attitude to, and ability to cope with negative interest rates.
Current monetary policy interest rates (as of October 2020) are 0.1% - and thus any further cuts are going to take us into negative territory. It would represent a marked change in the Bank's position on this aspect of monetary policy.
The Bank of England is seeking information from U.K. financial institutions on their ability to implement negative interest rates without damaging their business https://t.co/O7P1bVVR48
— Bloomberg (@business) October 12, 2020
Bank of England writes to UK banks asking them how ready they are for negative interest rates https://t.co/gaYg8GNIOO
— BBC News (UK) (@BBCNews) October 12, 2020
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