The governor of the Bank of England has warned there are “substantial risks” of spillovers to UK financial markets from Donald Trump’s attacks on the independence of the Federal Reserve and his threat to annex Greenland.
Andrew Bailey told an influential committee of MPs on Tuesday that BoE officials “worry considerably” about how financial markets will react to rising geopolitical tensions and what impact this will have on the UK financial system.
“The level of geopolitical uncertainty and the level of geopolitical issues is obviously a big consideration because they can have financial stability consequences,” Bailey said in response to a question about US political risks and Trump’s threat to seize Greenland.
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