ECB’s Messaging Delay Costs Bank of England £23M: A Comedy of Currency Errors
The Bank of England’s Real-Time Gross Settlement system upgrade cost £23 million extra due to the European Central Bank’s decision to delay its messaging overhaul. The unplanned expense was like buying a used car only to discover it needs a new engine and tires to boot.
Hot Take:
Who would have thought that a little delay in Europe could cost the Brits a cool £23 million? Well, when you’re dealing with the Eurozone’s favorite pastime—pushing back deadlines—it’s only fair the Bank of England had to fork out for the inconvenience. Chalk it up to another day in the life of international banking, where every schedule is written in pencil!
Key Points:
- ECB’s messaging standard delay cost Bank of England £23 million in migration adjustments.
- Bank of England’s RTGS project, costing £431 million, was replanned four times.
- Delays due to ECB’s ISO 20022 migration, postponed to June 2023.
- RTGS system provides sterling payment settlement services, worth £790 billion daily.
- NAO deemed the overspend reasonable given project complexity and uncertainties.
Already a member? Log in here