Bank of England points to a challenging outlook for British financial stability
The UK’s financial system faces rather a challenging outlook, following risks posed by leaving the EU as well as other factors, such as the recent American election, as the Bank of England reported on Wednesday.
The danger provoked breaking up with the EU depended on how smoothly the process evolved, and whether businesses in the European Union lost access to UK financial services, which would affect both Great Britain and the EU's economy.
The major bank's Financial Policy Committee also flagged a vast array of other risks. Evidently, the American presidential election strengthened existing vulnerabilities.
Following the American election, there have been considerable changes in global asset prices.
The surge in advanced economy sovereign yields, along with risks of reduced global trade, has strengthened the vulnerabilities closely connected with those emerging market economies with high levels of debt.