BoE to quiz non-banks over market risks soon – FPC’s Breeden

The Bank of England will launch an exercise very soon to test how non-bank financial institutions’ react to market stress, senior BoE regulator Sarah Breeden said on Friday.

“The Bank is very shortly launching its exploratory exercise to enhance understanding of the risks to and from non-banks, their behaviours, and how these behaviours can amplify shocks,” Breeden told a financial services conference in London.

Breeden said the BoE would give more details about the exercise next week.