Update: Carney warns Brexit is 'biggest domestic risk to financial stability'

Liquidity auctions planned in June

Bank of England governor Mark Carney has told MPs this morning a Brexit poses the "biggest domestic risk to financial stability", following the Bank's announcement it will hold extra liquidity auctions in June.

The governor, who emphasised the central bank is not backing the in or out campaign throughout the Treasury Select Committee hearing, also warned banks and other large institutions could relocate their headquarters abroad if the UK was to terminate its EU membership as a result of the poll. "The issue is the biggest domestic risk to financial stability, in part because of the issues around uncertainty," Carney said during the questioning, the Daily Mail reported. BlackRock: Brexit would leave UK 'economically worse off' "But also because it has the potential - depending on how it i...