BoE posts £5.5bn loss on QE book

It bought £200bn of gilts, corporate bonds and commercial paper between February 2009 and February 2010 to inject further monetary stimulus after slashing rates to 0.5%, the Telegraph reports. However, its first annual report revealed the portfolio value has shrunk by £5.5bn. Gilts accounted for the entire fall, with the £198.3bn book valued at £192.8bn on 28 February. After the £3.8bn of interest paid on the bonds, the nominal loss to the taxpayer is £1.75bn. But since February, gilt values have improved due to the Chancellor's Budget actions and analysts say the fund is now likel...