Central Banks
BOE Made £3.5 Billion Profit on Emergency Bond Market Intervention
- Central bank sells off last bonds, unwinding portfolio
- BOE still faces over £100 billion of losses on QE facility
The statue of Ariel at Tivoli Corner on the Bank of England.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
The Bank of England made a profit of about £3.5 billion on September’s emergency bond market intervention after selling off the final bonds on Thursday.
The central bank bought almost £19.3 billion of long-term government debt following then-Prime Minister Liz Truss’s disastrous budget last year. The BOE stepped in to prevent a shock in the gilt market from turning into an economic crisis.