Digital pound unlikely to be monetary policy tool – Cunliffe

Jon Cunliffe
Jon Cunliffe
Photo: Bank of England/Flickr

If the Bank of England launches a digital pound it is unlikely to be designed to support monetary transmission, Jon Cunliffe said today (February 28).

The deputy governor said the BoE planned not to pay interest on a UK central bank digital currency (CBDC). He told a parliamentary committee that the BoE saw the most likely need as being “digital cash”, an objective that could be undermined by paying interest.

An unremunerated CBDC would could close the door to one benefit that some academics

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

Register for Central Banking

All fields are mandatory unless otherwise highlighted

This address will be used to create your account

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

.