Shafaqna English- Banks are suggesting that the Bank of England could boost the UK’s gilt market this week and slash public sector borrowing costs by over £1 billion ($1.3 billion) per year—though some former regulators caution that such a rule change would raise financial stability concerns.
The Bank of England is currently reviewing its leverage rules—which banks say deter them from holding government debt—after it eased its main capital requirement in December. The central bank is scheduled to provide an update on its plans in Tuesday’s(7 Jul 2026) half-yearly Financial Stability Report, due at 0930 GMT.
Source: Reuters
BoE policymaker warns on inflation