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UK Treasury To Bail-Out Bank Of England's £11 Billion QE Losses

• by Tyler Durden

As we recently detailed, new UK chancellor Jeremy Hunt faces the daunting task of closing a £40bn gap in the government's accounts...

But, as Bloomberg reports, there are more holes for the UK Treasury to find cash for as it is set to transfer more than £11 billion ($12.4 billion) to the Bank of England this fiscal year to cover projected losses in its bond-buying program.

The capital transfer was detailed in an update to the "Central Government Supply Estimates" published on Tuesday by the Treasury.

The new £11.175 billion injection is listed under "assistance to financial institutions - payment to the Bank of England."