Andrew Bailey plays down bank crisis, paving way for more interest rate rises

Bailey was speaking at the International Monetary Fund spring meeting in Washington. Photograph: Anadolu Agency/Getty Images

The governor of the Bank of England, Andrew Bailey, has played down the risks of a system-wide banking crisis, paving the way for further interest rate increases to combat the UK’s high inflation levels.

Despite the recent problems that affected regional banks in the US and Credit Suisse in Europe, Bailey said the reforms to make banks safer after the 2008 global financial crisis had worked and there was no need to alter Threadneedle Street’s approach to setting borrowing costs.