On 29 November 2024, the Bank of England (BoE) published the latest Financial Stability Report, which sets out the Financial Policy Committee’s (FPC) view on the stability of the UK financial system and what it is doing to remove or reduce any risks to it.

Key points highlighted in the report include:

• Global risks remain high, and the overall risk outlook has become more uncertain and riskier.
• A sharp asset price correction could increase credit costs and be made worse by weaknesses in non-bank finance.
• Overall, UK households and businesses have remained resilient.
• The FPC has concluded that the UK banking system is strong enough to support households and businesses, even in a period of stress.
• Important risks from market-based finance remain, so the FPC and international authorities are taking action to build resilience.

A record of the FPC’s meeting on 15 November 2024 was also published alongside the report.