Bank of England Warns of Economic Risks Amid Global Trade Decline

The Bank of England's financial stability report was presented by Deputy Governor for Financial Stability Sarah Breeden. The report highlighted concerns about the UK's economic outlook, citing a decline in global trade and potential risks to financial stability.

The report noted that the UK's economy is expected to grow at a slower pace than previously thought, with GDP growth forecast to be 1% in the second half of 2026. This is down from the previous forecast of 1.5%.

Deputy Governor Breeden emphasized the importance of monitoring financial stability and taking proactive steps to mitigate potential risks. The report also highlighted the need for policymakers to address the impact of Brexit on the UK's economy.