BoE’s Brazier values flexibility with bank buffers
Bank of England will have a bias towards ‘acting early and gradually’
The Bank of England (BoE) will have a "bias" towards "acting early and gradually" on capital buffers, in reaction to shifting risks, its executive director for financial stability, Alex Brazier, said on March 7.
"We shouldn't be asking whether a downturn or a bad event is destined to happen. We are not looking for irrefutable proof. Capital buffers should be based on whether the evidence says there is a threat that could materialise in future," he said.
Stress tests would, he said, help guide
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