BoE to offer extra liquidity around EU referendum
The Bank of England has announced that it will offer billions of pounds of extra liquidity to banks in the weeks around the EU referendum.
Deprecated: trim(): Passing null to parameter #1 ($string) of type string is deprecated in C:\inetpub\wwwroot\2025.financialreporter.co.uk\htdocs\templates\front-end\partials\article_blockquote.php on line 2
The three additional Indexed Long-Term Repo operations will allow banks, building societies and broker-dealers to obtain liquidity in exchange for assets such as mortgage loans.
This will enable banks to carry on lending if markets become stressed, and has been described as a 'precautionary measure'.
The Bank of England said it will 'continue to offer liquidity insurance via its other facilities' and will 'continue to monitor market conditions carefully and keep its operations under review'.
The operations are in addition to the regular ILTR operations which will continue to take place once a month.
Mark Carney is due in parliament today to give evidence on the Bank's preparations for the EU referendum.
Breaking news
Direct to your inbox:
More
stories
you'll love:
This week's biggest stories:
Lloyds
Lloyds Banking Group launches £5,000 deposit mortgage
Mortgage Rates
Barclays relaunches sub-4% mortgage rate
FCA
FCA bans and fines director £755,000 for advice and insurance failures
Bank Of England
Bank of England holds interest rates at 3.75% in 8-1 vote
Mortgages
Mortgage affordability at tightest level since 2008: UK Finance
Nationwide
Nationwide cuts mortgage rates by up to 0.36%
