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Bank of England said to be considering a move into negative rates: Telegraph

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The Bank of England (BoE) is said to be considering a move into negative interest rates, The Telegraph newspaper reported late on Wednesday, without citing any sources.

[LONDON] The Bank of England (BoE) is said to be considering a move into negative interest rates, The Telegraph newspaper reported late on Wednesday, without citing any sources.

The report comes ahead of the British central bank's scheduled announcement of its November monetary policy decision at 0700 GMT on Thursday.

The BoE is in the midst of a review of how negative interest rates would work in Britain if necessary. It is still talking to banks about their preparedness.

None of the economists polled by Reuters expect an imminent move into negative rates.

Economists polled by Reuters expect the BoE to expand its asset purchase programme by 100 billion pounds (S$175.8 billion) to 845 billion pounds due to the deteriorating economic outlook as England enters a second Covid-19 lockdown.

Finance minister Rishi Sunak is also due to give an update on economic support measures related to the lockdown on Thursday.

REUTERS

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