Bank of England renews its commitment to adhere to the FX Global Code
The Bank of England (BoE) has renewed the Statement of Commitment to the FX Global Code (‘Code’) based on the revised Code dated December 2024
Central banks
Asset Purchase Facility: Gilt Sales – Market Notice 20 June 2025
This Market Notice sets out the schedule for sales in Q3 2025 of gilts held in the Asset Purchase Facility (APF) for monetary policy purposes.
Minutes of the Meeting of the Court of Directors held on 10 April 2025
The Bank's Court of Directors acts as a unitary board, setting the organisation's strategy and budget and taking key decisions on resourcing and appointments. Required to meet a minimum seven times per year, it has five executive members from the Bank and up to nine non-executive members.
Bank Rate maintained at 4.25% - June 2025
The Bank of England’s Monetary Policy Committee is responsible for making decisions about Bank Rate.
Exchange of letters between the Governor and the Chancellor regarding CPI Inflation - June 2025
Exchange of letters between the Governor and the Chancellor
Index-linked Treasury Stock
Index-linked treasury stocks are gilts issued by the UK Government. They pay out twice a year, with the amount indexed to the Retail Prices Index.
A new model to forecast energy inflation in the euro area
Energy inflation is a major source of headline inflation volatility and forecast errors, therefore it is critical to model it accurately. This paper introduces a novel suite of Bayesian VAR models for euro area HICP energy inflation, which adopts a granular, bottom-up approach – disaggregating energy into subcomponents, such as fuels, gas, and electricity. The suite incorporates key features for energy prices: stochastic volatility, outlier correction, high-frequency indicators, and pre-tax price modelling.
From losses to buffer - calibrating the positive neutral CCyB rate in the euro area
We study the impact of cyclical systemic risks on banks’ profitability in the euro area within a panel quantile regression model, with the ultimate goal to inform the calibration of the Countercyclical Capital buffer (CCyB). Compared to previous studies, we augment our model to control for unobserved bank-specific characteristics and year-fixed effects and find a lower degree of heterogeneity in the estimated effects across the conditional distribution of bank returns on assets.
Organized crime and banks: assessing the effects of anti-mafia police actions on lending
This study examines how dismantling Mafia-connected firms affects banks’ lending practices. Using a unique dataset of 667 such firms and loan-level data from the European Central Bank, our analysis shows that anti-Mafia operations precede an increase in bank loans to businesses that operate in areas that are directly affected by these actions. Specifically, overall loan volumes increase by approximately 0.8 percent, which translates to an increase of €1.38 billion in bank loans to these firms.
Recalibration of the Indexed Long-Term Repo Operation – Market Notice 11 June 2025
This Market Notice confirms the recalibrated parameters of the Indexed Long-Term Repo (ILTR) operation. In line with the Bank’s transition to a repo-led, demand driven operational framework for providing reserves, which ILTR operations are central to, the Bank is announcing an increase in the total amount of reserves available in each ILTR auction, an increase in the quantity of reserves available at fixed minimum spreads, and a gentler upward sloping supply curve than previously to ensure that clearing spreads only rise gradually.
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