The Working Group on Sterling Risk-Free Reference Rates (RFR) has published an interim report and work plan. It is focusing on:

  • finalising the process to be followed for the RFR decision, including final selection criteria, which it should complete in Q3;
  • assessing the merits of reformed SONIA against these criteria, which will start when BoE publishes details of reformed SONIA in late summer 2016;
  • assessing the merits of candidate-secured RFRs that have been recently launched, or are currently under development;
  • analysing the feasibility of transitioning the overnight index swaps market to a secured RFR, which it aims to complete by the end of the year; and
  • developing plans to encourage broad based adoption of the RFR in new contracts, which will last into 2017.

(Source: Reference rates group reports)