BOE's Woods: Bank responses show less of an operational challenge at zero rate than compared to negative rates

Comments by BOE policymaker, Sam Woods

• Majority of firms would need to make system changes to implement negative rates

In any case, they are still asking banks to get ready in case it is necessary. But as warned earlier, the BOE is wanting to make sure that this does not mean that it is coming.

If anything else, expectations have now shifted that negative rates is appearing to be more of an insurance policy for the BOE rather than part of the base case now.