LONDON: Bank of England Deputy Governor Sam Woods said on Tuesday that impairments were rising among banks after being held down by government measures during the coronavirus pandemic.
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“As we look at it now, we are actually seeing a pick-up in impairments across the banking sector,” Woods told CNBC television. “It’s not one that people should be alarmed about… It’s going up but from a very low base and we have got a close eye on it.”
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British households and businesses have been hit by the surge in inflation last year and a subsequent climb in interest rates by the BoE.
Woods also said the BoE was monitoring British banks’ exposure to China’s weakening property sector.
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