BoE expects larger capital impact in 2018 stress test

UK banks’ capital ratios are likely to fall sharply in this year’s stress test as a result of the introduction of International Financial Reporting Standard 9 (IFRS 9), the Bank of England (BoE) has warned.

Under the new accounting standard, banks’ provisions against loan losses will typically be made earlier in an economic downturn, resulting in a bigger drop in capital ratios compared with previous stress tests.

While the application of IFRS 9 may lead to a significant increase in expected

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here