jackpotnumberresult| Bank of England: Markets should be prepared for a significant increase in repo operations

Bank of England Governor Bailey said the market should be prepared for a significant increase in securities repurchase operations as the central bank reduces reserves well below current levels.

The Bank of England accumulated as much as £ 895 billion during its ten-year quantitative easing period (1jackpotnumberresultUS$.1 trillion) assets, which are currently being reduced at a rate of approximately £ 100 billion a year.

Bailey said a reserve size of £ 345 billion to £ 490 billion is "a good starting point" for investors.

"Looking to the future,jackpotnumberresultWe expect a significant increase in repo operations and the market should continue to be prepared for this,"Bailey said in a speech released by the Bank of England on Tuesday.

He said the Bank of England would keep some British government bonds on its balance sheet.