Halting Interest on BOE Reserves Could Save UK £1 Billion

The UK government would save about £1 billion ($1.3 billion) a year if the Bank of England copied the European Central Bank and cancelled interest on some of the money it controls, according to Numis analyst Jonathan Pierce.

The ECB last week said it would stop paying commercial banks interest on some €165 billion (£141 billion) of deposits they’re required to keep at the central bank as a minimum reserve.

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