BoE's Bailey: BoE is likely to increase government bond purchases

The Bank of England (BoE) is likely to increase its government bond purchases, BoE Governor Andrew Bailey told ITV on Wednesday, per Reuters.

Bailey further added that the BoE is ready to finance the government's COVID-19 spending. "A majority of members of the Monetary Policy Committee did not want to specify the amount of new money that would have to be created to buy the bonds."

Market reaction

The GBP/USD pair edged slightly lower and was last seen down 0.25% on the day at 1.2230.