The BoE will reduce its gilt holdings by £70 billion over 12 months, targeting £488 billion by September 2026.
The Bank of England will sell £70 billion of gilts from October 2025 to September 2026, reducing its Asset Purchase Facility to £488 billion. The reduction aligns with the Monetary Policy Committee’s September 2025 decision to unwind quantitative easing measures.
Sales in Q3 2026 will focus on short and medium maturity sectors, with three auctions of £725 million for 3-7 year gilts and two auctions of £600 million for 7-20 year bonds. The BoE aims to distribute sales evenly across maturities but will reduce long-dated gilt sales to reflect demand conditions.
The schedule follows a prior commitment to publish quarterly auction details, maintaining transparency in the unwind process. No immediate market reaction was specified in the notice.