MNI BRIEF: Sunak: BOE Responsible For Reserve Remuneration

Chancellor of the Exchequer Rishi Sunak, in a written response to the Lords Economic Affairs Committee, said that the UK Treasury is not considering ending remuneration of central bank reserves and that it was a matter for the Bank of England. Sunak said that the idea of ending reserve remuneration, an idea floated by some high profile economists, such as former Monetary Policy Committee member Charles Goodhart, "is not one that is being considered by the Treasury" adding that "the independent MPC has sole responsibility for the operation of monetary policy."

Sunak did not respond directly to LEAC's question over whether the Treasury would publish the Deed of Indemnity, which sets out the conditions under which the Treasury would remunerate the Bank in the event of losses from quantitative easing.