BoE has published the minutes from the 15 December 2015 meeting of its working group on sterling Risk-Free Reference Rates (RFRs). The group:

  • agreed a two-stage RFR selection process;
  • suggested that international consensus around overnight benchmarks is helpful to eliminate tenor basis;
  • set out plans to consult on the reform of the Sterling Overnight Index Average (SONIA) in the summer; and
  • noted that a decision regarding the choice of sterling RFR needs to consider both current and potential future market conditions.

(Source: BoE publishes RFR meeting minutes)