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Bank of England Lowers Capital Requirements for U.K. Banks

Published on December 5, 2025

On December 2, The Bank of England announced that it will be lowering capital requirements for U.K. banks from 14% to 13%, in an effort to boost lending. This is the first time since the great financial crisis that the Bank of England has reduced capital requirements, with these changes set to go into effect in 2027. 

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