Bank of England responds to Future of Finance report
The Bank of England (BoE) has responded to Huw van Steenis’ Future of Finance report with proposed actions for five priority areas, reports Jane Connolly.
Commissioned by the BoE in May 2018, the report found that the economy was becoming more digital, use of data was increasing rapidly while the use of cash in the UK was declining, and economic growth was draining the world’s natural resources and impacting the climate.
The report recommended that investment in technology could help to tackle climate challenges, while boosting productivity and innovation.
In response, the BoE has announced it will take a number of actions to address five key areas. These include supporting a more innovative and competitive payments system that will be suitable for the digital age.
The Bank also pledges to embrace new technology to improve efficiency and effectiveness as a regulator and deliver benefits to the financial services sector, by developing a world-class regtech and data strategy.
Small businesses will have better access to finance through a new open platform for SMEs, while the Bank will also consider the benefits and risks of cloud use to enable firms to deploy the cloud in a safe and resilient manner.
Finally, the Bank plans to lead by example in supporting the transition to a carbon-neutral economy.
Full details of the Bank of England’s action plans can be read here.