Tuesday, 5 July 2016
The Financial Policy Committee published its first financial stability report for 2016 today: see here (pdf). An executive summary is available here (pdf). The outlook for financial stability is challenging following the referendum on EU membership, and the FPC concludes that some risks have begun to crystalise. It has recommended to the Prudential Regulation Authority that the UK countercyclical capital buffer rate is reduced from 0.5% to 0%.