House of Lords report: Digital pound could lead to run on banks

Lords Economic Affairs Committee report

clock • 2 min read
The Bank of England is one of 90 central banks around the world exploring whether they should introduce their own digital currencies.
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The Bank of England is one of 90 central banks around the world exploring whether they should introduce their own digital currencies.

There are concerns that the creation of a central bank digital currency (CBDC) in the UK could cause a run on the banks during economic downturns, according to a new government report.

A report into the introduction of a CBDC by the Lords Economic Affairs Committee said that it could pose "significant risks" to the country. Lord Forsyth of Drumlean, chair of the House of Lords Economic...

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