Bank of England Research

The Bank’s engagement on retail payments Our retail payments engagement forums are vital to inform our work on a next generation payments ecosystem.

📢 Application deadline 3 March 2026: BoE Payments Academic Advisory Group 📢 Bringing together academics and researchers from divers disciplines to help deepen understanding of the frontier opportunities and risks shaping the future of payments. 👉 Apply here: www.bankofengland.co.uk/payment-and-...

In a recent Bank Underground post, Marco Garofalo (BoE) and Thomas Prayer (CEP/LSE) build a novel timely indicator to consistently monitor trade prices across countries.🔗https://i0.wp.com/bankunderground.co.uk/wp-content/uploads/2026/01/Money-trade-places-WordPress-910px-x-600px.png?ssl=1

📢 #CallForPapers -- ECONDAT 2026 Spring Meeting 📢
📅 5 June 2026 📆 Submission deadline: 28 Feb 2026
👉 Submit: econdat@banque-france.fr
👥 Organizers: Banque de France, Bank of England, European Central Bank &CEBRA
🌐 More details: www.banque-france.fr/en/events/ec...

In today’s Bank Underground post, Edward Egan (BoE) shows that new AI -- including in the UK and the US -- has had little effect on overall labour market dynamics. 🔗https://bankunderground.co.uk/2026/01/22/generative-ai-degenerative-for-jobs/

Product innovation in the UK mortgage market: the case of green mortgages Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1167 by Mahmoud Fatouh (BoE), Benjamin Guin (BoE) & Haluk Unal (University of Maryland) examines how green attributes become pricing relevant and how such innovations propagate through the financial system. 🔗 www.bankofengland.co.uk/working-pape...

Bank Underground: Sarah Munson (BoE) & Callum Ashworth (BoE) explore how UK-based retail participants’ presence in gilt markets is changing & what that might signal for monetary policy & financial stability. 🔗https://bankunderground.co.uk/2026/01/15/retail-investors-participation-in-the-gilt-market/

State- and time-dependent pricing Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

SWP 1166 by Philip Bunn (BoE), Nicholas Bloom (Stanford), Craig Menzies (BoE), Paul Mizen (King’s College), Gregory Thwaites (U. of Nottingham) & Ivan Yotzov (BoE) analyses trends in firm price setting behaviour &how it matters for pass-through of cost shocks. www.bankofengland.co.uk/working-pape...

Structural forecast analysis Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1165 by Davide Brignone (BoE) and Michele Piffer formalises the link between reduced-form VAR models and their structural counterpart to support real-time forecast analysis. www.bankofengland.co.uk/working-pape...

Geopolitical risk and cross-border bank lending Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1164 by Reynolds (BoE), Dennis Reinhardt (BoE), Rhiannon Sowerbutts (BoE) examines how geopolitical risk affects cross-border bank lending at the firm level as well as main transmission mechanisms. www.bankofengland.co.uk/working-pape...

Staff Working Paper 1163 by Maximilian Ahrens (BoE), Dragos Gorduza (University of Oxford), Michael McMahon (Maihem.ai) presents EcoFinBench a comprehensive benchmark suite for sentence classification to aid economics and finance research. www.bankofengland.co.uk/working-pape...

📢 Interested in a research career at the BoE?

Join the Bank’s Chief Economist and Head of Research on 15 Jan. 2026 (16:00–17:00 GMT) for an overview of research careers at the BoE. Event to take place under Chatham House Rules.

📅 Register by 14 Jan. at www.eventsforce.net/phdrecruitme...

Bank of England Agenda for Research, 2025-2028 Research is crucial to what any central bank does. It forms a critical part of the analytical apparatus that guides policymakers’ decisions. This document sets out the key new directions for research ...

📣 Today we published our priority topics for 2026, setting out key areas for new research as part of our 2025-2028 Bank of England Agenda for Research (BEAR).

🔗 Read the full agenda that includes our 2026 priority topics here: www.bankofengland.co.uk/research/ban...

In today’s Bank Underground post, we reflect on the highlights of the blog in 2025. In case you missed any of out posts the first time round, click here to access the five most viewed posts of last year: bankunderground.co.uk/2026/01/08/o...

Sticky hurdles: the dynamics of firm hurdle rates in a tightening cycle Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1162 by Krishan Shah (BoE), Philip Bunn (BoE) and Marko Melolinna (FCA) explores how firms adjust their required rates of return on investment–known as “hurdle rates”– when monetary policy tightens. www.bankofengland.co.uk/working-pape...

A public-private partnership? Central bank funding and credit supply Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1161 by Matthieu Chavaz (BIS), David Elliott (BoE) and Win Monroe (Copenhagen) explores how the Funding for Lending Scheme (FLS) shaped mortgage lending in the UK. www.bankofengland.co.uk/working-pape...

Climate change increases bilateral trade costs Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1160 by Maximilian Huppertz (BoE) combines international trade and weather data spanning the last 190 years to examine how climate change affects global trade costs. www.bankofengland.co.uk/working-pape...

Staff Working Paper 1159 by Richard Baldwin (IMD), Rebecca Freeman (BoE) & Angelos Theodorakopoulos (Aston) develops a toolkit for analysing how global shocks affect the geographical and functional distribution of GSCs at the sub-national level. 👉 www.bankofengland.co.uk/-/media/boe/...

Monetary policy and mortgage fixation lengths Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1158 by A Rajan (BoE), F Rodriguez-Tous (Bayes) & M Salgado-Moreno (BoE) studies how lenders adjust the mix of mortgage products in response to changes in monetary policy. 👉 www.bankofengland.co.uk/working-pape...

In today’s Bank Underground post, Katherine Blood (BoE) outlines a new measure for tracking the ownership of UK commercial real estate (CRE) by drawing on granular transaction-level and fund-level data. Read more here:🔗 bankunderground.co.uk/2025/12/11/w...

Bond financing conditions, economic activity and the financial accelerator Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1157 by Eduardo Maqui (BoE), Márcia Silva-Pereira (Bank of Portugal/Nova SBE) and Nicholas Vause (BoE) explores how bond financing conditions affect economic activity in the UK. www.bankofengland.co.uk/working-pape...

Monetary policy, state-dependent bank capital requirements and the role of non-bank financial intermediaries Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1156 by Manuel Gloria (BoE) and Chiara Punzo (BoE) explore how NBFIs influence monetary policy transmission with a model of state-dependent bank capital requirements. www.bankofengland.co.uk/working-pape...

In a recent Bank Underground post, C Herler & P Schnattinger (BoE) examine the effect of inflation uncertainty on how households make financial decisions, drawing from an experiment that disentangles inflation uncertainty from inflation expectations. 🔗 bankunderground.co.uk/2025/12/04/h...

Sticky production and monetary policy Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

The recent inflationary episode was shaped unexpected demand surges and supply constraints. Staff Working Paper 1155 by J Chan (BoE), S Diz (CB Paraguay) & D Kanngiesser explores the effect of these dynamics by adding realistic frictions into an NK model. 🔗 www.bankofengland.co.uk/working-pape...

The value of trading relationships in FX derivatives: evidence from Credit Suisse's collapse Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1154 by Gerardo Ferrara (BoE) and Helene Hall (Harvard) about how dealer–client relationships in the FX derivatives market shape trading outcomes—especially under stress. 🔗 www.bankofengland.co.uk/working-pape...

Inventories matter for the transmission of monetary policy: uncovering the cost-of-carry channel Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1153 by DRodrigues (UQAM) & T Willems (BoE) outline a cost-of-carry channel of monetary policy transmission, where higher policy rates raise the opportunity cost of holding inventories, incentivizing firms to reduce stockpiles. 🔗 www.bankofengland.co.uk/working-pape...

Spatial inequality, regional growth, and economic geography Staff working papers set out research in progress by our staff, with the aim of encouraging comments and debate.

Staff Working Paper 1152 by Jenny Chan (BoE), Sebastian Ellingsen (Bristol), and Helen Simpson (Bristol)
provides a synthesis of recent contributions that examine trends in regional income gaps and why these persist today. 🔗 www.bankofengland.co.uk/working-pape...

In today’s Bank Underground post, Tuli Saha (BoE) and Alexandra Varadi (BoE) explore how household debt shapes the transmission of interest rates to spending and mortgage defaults. 🔗 bankunderground.co.uk/2025/11/20/t...

👥 Organisers: Ambrogio Cesa-Bianchi (BoE), Ida Hjortsoe (BoE), Neeltje Van Horen (BoE, Amsterdam), Michael Kumhof (BoE), Abigail Haddow (BoE), Kate Reinold (BoE), and Carlos Cañon Salazar (BoE) (4/4)

Confirmed speakers include:
🎙A high-level policy panel including Gita Gopinath (Harvard)
🎙A keynote address by Hélène Rey (LBS)
🎙A fireside chat with Governor Andrew Bailey (3/4)

🎯 Workshop aim: to bring together researchers and policymakers to explore issues such as the reshaping of global trade, international finance, and cross-border shock transmission —and their impact on the UK’s interactions with the global economy. (2/4)