HISTORIC PRESS RELEASE : Treasury and Bank of England Open Up the Books [December 1997]

The press release issued by HM Treasury on 2 December 1997.

The first edition of a new quarterly report providing greater detail of the UK’s holdings of foreign currency and gold was published jointly today by the Treasury and the Bank of England.

The report shows for the first time the size of the UK’s forward foreign exchange position and the currency composition of the UK’s foreign currency assets.

On publication of the report the Economic Secretary, Helen Liddell said:

“This report is another key step in the Government’s drive towards greater transparency in economic policy making.

“Greater openness improves the quality of economic decisions, strengthens their legitimacy and credibility, and reduces the likelihood of unpredictable and counterproductive reactions in financial markets.”

The report shows that the level of the Government’s reserves, including the forward book was $42.3 billion at end-September, an underlying increase of $50 million on end-June. Net forward holdings of foreign currency were $1.24 billion at end-September.

The level of the Bank of England’s holdings of foreign currency and gold was $1.98 billion at end-September.