Bailey asked on negative rates. Says that MPC...>

BOE: Bailey asked on negative rates. Says that MPC has a history since the

financial crisis of keeping the lower bound under period review. Said it was no

surprise it is under active review in current situation. What are we doing? Very

keen to observe how economy is responding to rate cuts already made. Do cuts get

less effective and potentially counterproductive closer to the zero bound. What

can be done to counteract? HAve introduced Term Funding Scheme. Looking at other

central banks' experiences - overall messages: cyclical context important,

structure (e.g. Banking system/financial system) are all different. "We're not

ruling it in, we're not ruling it out. Now is the right time to look at this"