The Bank of England published the Financial Stability Report for December.
The report sets out the Financial Policy Committee’s view on the stability of the UK financial system and what it is doing to remove or reduce any risks to it.
In particular it focuses on:
- a risk overview – how UK households and business have been supported by the financial system to help then weather the economic disruption associated with Covid-19;
- bank resilience – how banks are strong enough to support households and businesses through this difficult period and how it is in banks’ own interest to continue to lend;
- UK and EU relationship – the measures that have been put in place to limit disruption to financial services at the end of the transition period;
- the UK mortgage market – the measures that have helped households be more resilient; and
- systemic stablecoins and financial stability – how the way we make payments is changing.