The Bank of England has warned of a “material risk” to financial stability as it made a fresh emergency move to try to calm markets.
 |
| Bank of England |
It said it would buy more government bonds to try to stabilise the price and prevent a sell-off that could put some pension funds at risk of collapse.
It has made multiple interventions in the markets since the government’s mini-budget spooked investors.
The chancellor promised huge tax cuts without saying how he would fund them.
On Monday, Kwasi Kwarteng brought forward his plan to balance the government’s finances by three weeks to 31 October in a bid to reassure the markets.
But, despite that and a fresh intervention earlier in the morning from the Bank, just four days before its self-imposed deadline to end its support, bond yields rose sharply.
BBC
