Bank of England scales back estimate for worst-case Brexit GDP hit

The Bank of England has lowered its estimate for the scale of damage to Britain's economy in a worst-case Brexit scenario because of preparations undertaken since the end of last year, BoE Governor Mark Carney said on Wednesday. Carney said the central bank now estimated that gross domestic product would contract by 5.5% peak to trough, less than the 8% seen in a set of scenarios published in November.

In a letter to lawmakers, Carney stressed the BoE had drawn up scenarios of what could happen rather than forecasts for the most likely outcome.

Also Read: Next Bank of England chief must be independent and "first class" - PM Johnson