BOE made a profit of about £3.8 billion from emergency bond purchases it made last year

Bank of England Bank of England The Bank of England (BoE) functions as the United Kingdom’s central bank and is one of the key drivers of monetary policy in Europe. As one of the world’s oldest central banks and established in 1694, the BoE is owned by the British government. Its central mandate involves maintaining and targeting interest rates while using other tools to help either stimulate or contract the economy. Moreover, the BoE is responsible for producing the UK’s bank notes as well as supervising key bank payment sy The Bank of England (BoE) functions as the United Kingdom’s central bank and is one of the key drivers of monetary policy in Europe. As one of the world’s oldest central banks and established in 1694, the BoE is owned by the British government. Its central mandate involves maintaining and targeting interest rates while using other tools to help either stimulate or contract the economy. Moreover, the BoE is responsible for producing the UK’s bank notes as well as supervising key bank payment sy Read this Term Governor Bailey and other officials appeared before the UK Parliament's Treasury Committee on Monday.

Bailey faced questions on numerous topics, some of which covered the trashing of UK assets, including GBP and gilts (UK government bonds) in September 2022 after then-Prime Minister Liz Truss’s budget program set out a series of unfunded tax cuts. Asset values have since bounced back. At the time the Bank of England stepped into markets to buy bonds and stem the rout. Bailey said the risk premium on UK assets since September is “pretty much gone”. Said though that confidence remains fragile.

Bailey confirmed BOE profits of circa £3.8 billion from emergency bond purchases it made last year. The sale of these was completed on January 12.

GBP GBP The Great British pound (GBP) or pound sterling is the official currency of the United Kingdom, Jersey, Guernsey, the Isle of Man, Gibraltar, South Georgia, and other pacific territories.The GBP is currently the fourth most-traded currency worldwide in forex markets after the US dollar, euro, and Japanese yen.As the oldest currency in continual use, the GBP holds great weight on the world market and is also the fourth largest reserve currency.The Bank of England (BoE) is the central banking auth The Great British pound (GBP) or pound sterling is the official currency of the United Kingdom, Jersey, Guernsey, the Isle of Man, Gibraltar, South Georgia, and other pacific territories.The GBP is currently the fourth most-traded currency worldwide in forex markets after the US dollar, euro, and Japanese yen.As the oldest currency in continual use, the GBP holds great weight on the world market and is also the fourth largest reserve currency.The Bank of England (BoE) is the central banking auth Read this Term - the sell-off can be seen in the second half of September 2022, then subsequent bounce back on Bank of England gilt intervention and rally: