UK inflation is a threat to financial stability – time to conceal that with tried and tested Eurozone techniques

As published on IREF Europe

UK Consumer Price Inflation remained at 8.7% in May. The Bank of England has raised the cost of overnight money to 5% via increases in its Base Rate, and has caused the cost of medium-term money to rise by selling off the bonds that it bought since the Global Financial Crisis […]

‘Digital pound’ will not be ‘central bank money’ if there are deductions or a settlement delay

‘Digital pound’ consultation

We have sent an addendum to our previous response to this consultation on the ‘digital pound’.

Its message is that the ‘digital pound’ will not be a form of ‘central bank money’ if its so-called Distribution Model replicates what happens in the Visa and Mastercard ecosystems on three points.

The consultation papers were vague on […]

Central banks should be wobbling in their drive towards Central Bank Digital Currencies

Introduction

Central banks have undertaken many investigations, pilots and proofs-of-concept into Central Bank Digital Currencies (CBDCs), proving little beyond the lack of a convincing case in their favour, but unearthing many risks, drawbacks and unanswered questions.

Recent material from Sweden, Japan, the European Parliament, the UK’s House of Lords […]