United Kingdom : Financial Sector Assessment Program-Review of the Bank of England's Liquidity Provision Framework-Technical Note

The U.K. is a leading financial center with diverse liquidity needs. These needs came to the fore during the global financial crisis (GFC), when the authorities were forced to scale up liquidity provision and redesign their liquidity insurance framework. Since then, the authorities have reviewed their experience and formalized a broader, less discretionary, and more accessible framework, aimed at extending the reach of liquidity provision and reducing the stigma that made the previous framework less effective. Operational readiness and governance arrangements have been improved to make liquidity provision more "fit for purpose".