UK Government, the Law and Your Role
What is the Bank of England responsible for?
AManaging and refinancing only the national debt and all government borrowing
BCollecting income tax, VAT and all other taxes directly on behalf of the government
CRunning, regulating and directly owning all UK high-street commercial banks
DSetting monetary policy including interest rates and issuing English banknotes ✓
Answer & explanation
The correct answer is Setting monetary policy including interest rates and issuing English banknotes.
The Bank of England is the UK's central bank. It sets interest rates (via the Monetary Policy Committee), issues banknotes in England and Wales, and regulates the financial system.
This is one of 767 free Life in the UK test questions on Pass the UK Test. It is taken from UK Government, the Law and Your Role and covers bank of england, interest rates, monetary policy. Every answer is based on the official Life in the United Kingdom handbook. Browse all questions or take a free mock test.
mediumbank of englandinterest ratesmonetary policy
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