BoE becomes reluctant market-maker of last resort

The Bank of England at night
The Bank of England at night

On September 28, yields on UK government bonds – gilts – at the 30-year maturity crossed the 5% mark and continued upwards. The yields had been climbing rapidly, with the odd lurch, since September 23. The proximate cause was the UK government’s ‘mini-budget’, which contained a mix of hefty spending pledges and major tax cuts that investors did not take kindly to.

But the scale of the climb – yields had been 3.7% on September 23 – indicated something deeper was wrong. The Bank of England

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to Central Banking? View our subscription options

If you already have an account, please sign in here.

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: