BoE realistic about challenge of sub-zero rates for banks - Bailey

FILE PHOTO: Bank of England Governor Andrew Bailey poses for a photograph on the first day of his new role at the Central Bank in London, Britain March 16, 2020. Tolga Akmen/Pool via REUTERS

LONDON (Reuters) - Bank of England Governor Andrew Bailey said on Tuesday he did not rule out using negative interest rates but that the central bank was realistic about the challenges they would pose for the banking system.

Bailey, in an online speech given to Queen’s University Belfast, reiterated that the BoE had not yet reached a judgment on whether or when to use sub-zero rates for the first time.

Reporting by David Milliken; Writing by William Schomberg; Editing by Gareth Jones