The Bank of England (BoE) has ramped up its temporary bond buying program to prepare banks for liquidity pressures as the scheme reaches its end this week.
The bank previously said it would buy up to £5bn in gilts per day, or £65bn over the course of the program, but has now increased the limit to £10bn. In a statement this morning (10 October), the bank said it was "prepared to deploy this unused capacity to increase the maximum size of the remaining five auctions above the current level of up to £5bn in each auction". "The maximum auction size will be confirmed each morning at 9am and will be set at up to £10bn in today's operation," it added. The bank began the bond buying scheme last month following the government's Mini Budget th...
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