A few towns and cities in the United Kingdom have set up local currency schemes to promote local sustainability. The schemes issue paper instruments with some similar design features to banknotes. This article explains how these instruments differ from banknotes. The size, structure and backing...

In its money market operations, the Bank of England implements the interest rate decisions of its Monetary Policy Committee while meeting the liquidity needs of the banking system and, thus, contributing to its stability. The Bank has decided that it needs to upgrade the way in which it carries...

We study the macroeconomic consequences of issuing central bank digital currency (CBDC) — a universally accessible and interest-bearing central bank liability, implemented via distributed ledgers, that competes with bank deposits as medium of exchange. In a DSGE model calibrated to match the...