Commons Sense

House of Commons · Written Ministerial Statement

Notification of Contingent Liability

23 November 2022 · Treasury

Proposed by Jeremy Hunt Con Godalming and Ash

Economy

Summarised by AI from the official record, so it can contain mistakes.

View on Parliament.uk

At a glance

Key points

  • The authorised maximum total size of the Asset Purchase Facility (APF) has been reduced from 966bn to 871bn.
  • The reduction reflects the unused portion of recent financial stability expansions.
  • Ongoing monitoring of the APF remains in place under the existing risk control framework.

Issue summary

The statement addresses the reduction of stocks held in the Asset Purchase Facility (APF) by ceasing to reinvest maturing securities and reducing the authorised maximum size of the APF.

Action requested

The authorised maximum total size of the APF has been reduced from £966bn to £871bn, reflecting the unused portion of recent financial stability expansions. The risk control framework remains in place with ongoing monitoring by HM Treasury.

Key facts

  • The MPC decided on 3 February 2022 to reduce stocks held in APF.
  • Sales of corporate bonds began on 28 September 2022 and gilts on 1 November 2022.
  • Maximum authorised size reduced from £966bn to £871bn as of 4 November.
  • Total stock of assets fell from £866.6bn to £851.6bn since May 2022.
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