Bank of England launches 2021 solvency stress test
8 February 2021
The Bank of England launched the solvency stress test that will assess the major UK banks and building societies against a UK and global adverse scenario. In light of the uncertain economic outlook, and given the fact the 2020 stress test was cancelled, BoE will run the 2021 solvency stress test on a staggered timetable, but the complete bank-specific results will be published in 2021 Q4 as usual.
In this alert, you will read our highlights on the UK Banking system stress test, including the most important shocks which the adverse scenario would lead to. The alert also summarizes the changes that have been introduced, in spite of the similarities with the previous exercise.