Tiering in Chaps

8 Pages Posted: 16 Jan 2014

See all articles by Kevin Finan

Kevin Finan

Bank of England

Ana Lasaosa

Bank of England

Jamie Sunderland

Bank of England

Date Written: December 20, 2013

Abstract

In the United Kingdom, many banks access payment systems via relationships with other banks. This introduces risks to financial stability which can be reduced by increasing direct participation. The Bank has worked with the payments industry to increase direct participation in CHAPS, as part of its broader work to reduce systemic risk in the United Kingdom. As a consequence, by 2015 a number of banks that are systemically important to the CHAPS system will become direct participants. This is a structural change which will significantly reduce interbank exposures, and hence will enhance UK financial stability.

Suggested Citation

Finan, Kevin and Lasaosa, Ana and Sunderland, Jamie, Tiering in Chaps (December 20, 2013). Bank of England Quarterly Bulletin 2013 Q4, Available at SSRN: https://ssrn.com/abstract=2379360

Kevin Finan (Contact Author)

Bank of England ( email )

Threadneedle Street
London, EC2R 8AH
United Kingdom

Ana Lasaosa

Bank of England ( email )

Threadneedle Street
London, EC2R 8AH
United Kingdom

Jamie Sunderland

Bank of England ( email )

Threadneedle Street
London, EC2R 8AH
United Kingdom

Do you have a job opening that you would like to promote on SSRN?

Paper statistics

Downloads
62
Abstract Views
648
rank
483,559
PlumX Metrics