BoE toughens 2016 stress tests
Test imposes new capital requirements and larger macroeconomic shocks
Along with an increase in the severity of the scenario presented to banks, capital-level requirements have also been made tougher in this year's Bank of England stress tests.
Published today (March 29), the BoE announced the minimum stressed capital requirement for the UK's biggest banks will increase from the 4.5% imposed in previous years. Banks that are systemically important will now have to meet minimum risk-based capital requirements of 7–8%, and a leverage ratio of 3%.
In October, the
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