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The Bank of England on Thursday said it sold a portfolio of £19.3 billion worth of UK gilts, which it purchased in the autumn to keep a lid on bond market volatility following the mini-budget.
The ill-fated fiscal plan spooked investors and contributed to the departures of ex-chancellor Kwasi Kwarteng and former prime minister Liz Truss.
The ’mini-budget’ sent the pound into free-fall and bond markets into a tailspin. It also put pension funds under threat.
The Bank of England was forced to step in, through its emergency gilt-buying programme.
The £19.3 billion sales are not related to another plan by the central bank to sell roughly £850 billion of UK government bonds that were accumulated under its quantitative easing programme.
By Eric Cunha, Alliance News news editor
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