UK banks must raise extra £27bn to meet resolution needs under BoE proposals
Proposals designed to ensure banks will continue to operate under resolution
UK banks will have to issue a significant chunk of additional debt to meet minimum requirements for resolution, under proposals unveiled by the Bank of England (BoE) today (December 11).
The minimum requirement for own funds and eligible liabilities (MREL) is designed to ensure large banks have sufficient capacity to maintain core functions should they undergo resolution.
A consultation document published by the BoE today estimates banks require net new issuance of £27 billion to meet their MREL
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