Bank of England Governor Andrew Bailey has indicated that the central bank is considering a significant simplification of the UK's financial rulebook.
The comments signal a potential shift in regulatory posture, aiming to reduce complexity for financial institutions while maintaining stability.
This development follows recent moves by the Bank of England to loosen capital requirements for lenders.
That policy adjustment is designed to support credit availability in the economy, despite internal warnings about ongoing economic vulnerabilities.
The combination of rulebook simplification and eased capital constraints suggests a coordinated effort to ease pressure on the banking sector.
The regulatory easing comes as Bailey has previously stated that interest rate cuts are "off the table," underscoring the central bank's commitment to holding borrowing costs steady.