Overview

• Bailey said there is an urgent need to harness digital technology in retail payments to boost growth and replace ageing infrastructure.
• He pledged that the Bank of England will partner with authorities and industry to design and deliver the next generation of UK retail payments infrastructure.
• He expressed skepticism about introducing a retail central bank digital currency, arguing that upgrading existing payment channels should take priority.
• He supported a regulated role for stablecoins but warned they must be safe and should not replace commercial bank money, cautioning banks against issuing their own.
• He cautioned that escalating trade tensions and tariffs risk fragmenting the global economy and urged the IMF and WTO to secure agreement on global trade rules.