LONDON — Banks operating in Britain must find a net 4 billion pounds ($5.3 billion) by 2022 to comply with rules aimed at shielding taxpayers if lenders go bust, the Bank of England said on Monday. Ten years after the financial crisis that cost British taxpayers billions of pounds to rescue banks like Royal Bank of Scotland and Lloyds, the BoE said its was putting the finishing touches to a system for dealing with failing banks. This would ensure that even large banks can be wound down and would be no longer "too big to fail" and hold taxpayers to ransom. BoE Deputy Governor Jon Cunliffe said the BoE does not run a "zero failure regime". Advertisement Continue reading the main storyThe BoE was setting out detailed proposals on so-called mandatory "bail-in" debt that can be written down to replenish a bank's burnt-out capital in a crisis.

Source: New York Times October 02, 2017 09:51 UTC