You are here: Home - Saving & Banking - News -

UK votes leave: Bank reassures markets it is ‘well prepared’ for volatility

0
Written by: Samantha Partington
24/06/2016
As the UK votes to leave the EU with 51.9% in favour of a Brexit, the Bank of England has stepped forward to reassure the country it is ‘well prepared’ for the expected economic volatility.

In a statement released by the Bank, governor Mark Carney said he has engaged in extensive contingency planning for the outcome and had been in close contact with the Chancellor throughout the night.

He said: “The Bank will not hesitate to take additional measures as required as markets adjust and the UK economy moves forward.

“These adjustments will be supported by a resilient UK financial system – one that the Bank of England has consistently strengthened over the last seven years.”

Carney said the substantial capital reserves and liquidity of banks, built up since the financial crisis, will give banks the flexibility they need to continue to lend to UK businesses and households during challenging times.

He said the Bank stood ready to provide more than £250bn of additional funds through its normal facilities, as a backstop, to support the functioning of the markets.

He added: “That economy will adjust to new trading relationships that will be put in place over time. It is these public and private decisions that will determine the UK’s long-term economic prospects.

“The best contribution of the Bank of England to this process is to continue to pursue relentlessly our responsibilities for monetary and financial stability.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Rail strikes: Your travel and refund rights

Thousands of railway workers will strike across three days this week, grinding much of the transport system to...

How your monthly bills could rise as the base rate reaches 1.25%

The Bank of England has raised the base rate to 1.25% as predicted – the fifth consecutive rise in just six ...

Low-income pensioner? You could gain £3k top-up

Hundreds of thousands of retirees struggling with a low income are missing out on Pension Credit worth £3,300...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week