BoE relief waives record £718bn off UK banks’ leverage exposures

On average, the UK leverage ratio of the top five lenders stood 80bp points higher than the CCR iteration in Q1

A benign Bank of England (BoE) rule allowed the top five UK banks to lop an aggregate £717.5 billion ($1.02 trillion) off their leverage ratio exposures in the first quarter – the most since the European Union and UK leverage regimes diverged in 2016.

UK-based lenders have been able to deduct qualifying central bank balances for their exposure measures for the UK-specific leverage ratio, something not permitted by the EU-wide measure under the Capital Requirements Regulation (CRR) regime.

As a

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 [email protected] or view our subscription options here: http://subscriptions.risk.net/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net 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: