The SLS was introduced in April 2008 to improve the liquidity position of the banking system by allowing banks to swap their high quality mortgage-backed and other securities for UK Treasury Bills for up to three years. The Scheme was designed to finance part of the overhang of illiquid assets on banks' balance sheets by exchanging them temporarily for more easily tradable assets. Securities formed from loans existing before 31 December 2007 have been eligible for use in the SLS.
Published on
03 February 2009
Press release