LONDON (Reuters) – Bank of England Governor Mark Carney and other top officials from the central bank spoke to reporters on Monday after the BoE published its Financial Stability Report which looks at risks to the economy from the financial sector.
CARNEY ON ELECTION AND NO-DEAL BREXIT
“The worst case scenario is effectively a no-deal disorderly Brexit. The probability of that scenario has gone down because of the election results and the intention of the new government. But the scenario itself and… the risks which we protect the system against has not itself changed, it’s just become less likely.”
“People would expect us… to continue to ensure that the system is ready.”
CARNEY ON TRANSITION
“Until we have a deal and a transition to that deal, we will continue to have arrangements in place, whether they’re additional liquidity, ensure that the capitalisation of banks are consistent or arrangements such as temporary but important crossborder arrangements that have been put in place around the derivative markets… as a bridge to the final relationship.”
CARNEY ON NEXT YEAR’S STRESS TESTS
“The committee will finalise its judgement on