Europe
UK clearing houses face tougher capital regime than EU peers
Ice resists BoE plan to move second skin in the game higher up capital stack, but members approve
‘Pricing cascades’ crucial to post-Covid inflation – study
ECB researchers say speed and interdependencies were key components to shock
ECB seeks capital clarity on Spire repacks
Dealers split between counterparty credit risk and market risk frameworks for repack RWAs
Sveriges Riksbank holds rates, signals longer-term pause
Swedish economy continues to grow, despite ‘dramatic’ geopolitical developments, bank says
EU cannot fully disconnect from US, say Nagel and Kocher
German and Austrian governors say bloc can take steps to gain more sovereignty
ECB tweaks collateral framework, ‘paves way’ for DLT-based assets
Bank clarifies ‘climate factor’ in securities pricing, introduces haircuts on sterling, dollar and yen assets
People: President’s nephew confirmed as BI deputy governor
Plus new governor in Malawi and Croatia’s vice-governor to become minister
Life insurers increasingly exposed to systemic risk – BoE paper
Authors say European firms’ ‘non-traditional activities’ may call for new regulation
BoE’s new forecast evaluation unpacks causes of errors
Global shocks and wage growth led bank to underestimate inflation persistence
EU should ‘roll up its sleeves’ against China and US – BdF head
Villeroy de Galhau says Europe has ‘many cards to play’ in geopolitical game
ECB and ESRB warn of financial stability risk from geopolitics
New model takes prediction data to show US domestic politics affecting eurozone financial markets
Geopolitics a key focus for ECB supervisors – blog
European banks have fared well so far against shocks but must stay vigilant, senior officials write
Don’t count on central banks to buy public debt, says Lagarde
ECB president tells Davos panel that divergent global standards may puncture AI bubble
Risk management reviews are most common assessment method
Centralised teams are less likely to conduct external or management evaluations
Bailey underscores support for Powell
BoE governor also points to potential spillover risks to UK from events in US
Croatia’s Vujčić to replace de Guindos as ECB vice-president
Governor will be executive board’s first member from a post-2004 EU accession state
Europeans have more trust in compatriot ECB officials – study
ECB messages carry more weight when delivered by officials from one’s own country, research finds
Yield curve ‘steepening’ best seen as normalisation – ECB study
Long-term borrowing costs surged but overall structure ‘not in an unusual shape’, say economists
UK’s Orange Book risk approach rarely used by central banks
Only three centralised risk management departments utilise principle
Trade fragmentation still favours west over east – BdF study
Authors says US-led bloc better placed to win over neutral states than China-aligned grouping
ECB reaffirms commitment to climate-related work
Central bank to continue scrutinising lenders over environmental risks on balance sheet
Staff error is largest cause of op risk at central banks
Legacy systems tend to trigger most threats in jurisdictions with greater than average number of incidents
Private credit to grow in Europe in 2026 – S&P
Basel implementation and diversification away from US point to more activity, analysts say
Central bank governors express ‘full solidarity’ with Powell
Lagarde and Bailey among signatories of statement in wake of Department of Justice investigation