The Governor of the Bank of England (BoE), Mark Carney, delivered a speech at Harvard Club UK Southwark Cathedral dinner on 21 September 2015. The speech outlined examples of the BoE’s work which aims to guard against the “three lies of finance”. Examples include:
- Overhauling policy frameworks to prevent complacency, for example, in a similar way to the BoE’s control and promotion of financial stability through low interest rates;
- Improving the resilience of markets against the failure of individual counterparties;
- Changing the way the BoE provides liquidity; and
- Restoring trust and fairness, for example, the BoE published the Fair and Effective Markets Review this year which identified misconduct in FICC markets.
The BoE is holding an Open Forum in November this year to discuss the prospects for market functioning and if enough is being done to rebuild the markets.