The changes introduced today follow on from the Governor’s commitment to widen access to the Bank’s facilities, made at Mansion House on 12 June 2014. They are designed to recognise the important role played by broker-dealers and CCPs in the provision of critical financial services to the real economy. In providing these critical functions, both broker-dealers and CCPs are exposed to liquidity risk. As the supplier of the economy’s most liquid asset, central bank money, the Bank is able to be a ‘back-stop’ provider of liquidity, and can therefore provide liquidity insurance to the financial system.
Published on
05 November 2014
Press release