The Bank of England (BoE) Financial Policy Committee (FPC) said in a quarterly statement on Wednesday, the “risks to the UK financial stability are broadly unchanged since June.

Additional takeaways

Valuations of equities and other asset classes are "stretched", susceptible to sharp correction.

Survey shows record-high percentage of financial firms worried about geopolitical risk.

Maintains counter-cyclical capital buffer at 2%.

UK households and corporate borrowers resilient to high interest rates overall.

Some small businesses and private equity backed firms remain under pressure from high rates.

UK banking system remains in a strong position to support lending.

High public debt levels in major economies could have consequences for the UK financial stability.

UK leverage ratio framework remains appropriate after annual review.