Pound falls after UK bank chief rules out extending help

By JILL LAWLESS and DANICA KIRKA
Associated Press

LONDON (AP) — The pound sank against the dollar after the governor of the Bank of England confirmed the bank will not extend an emergency debt-buying plan introduced last month to stabilize financial markets. Andrew Bailey said late Tuesday that the scheme will end on Friday as scheduled. He told fund managers on a trip to Washington that “you’ve got three days left now.” The pound fell by almost 1% to just below $1.10 on Wednesday before rallying slightly after the Financial Times reported that the bank was after all prepared to keep buying bonds beyond Friday. The central bank stepped in last month after the British government announced plans for 45 billion pounds ($50 billion) in unfunded tax cuts.