What does the Bank of England do? | Bank of England Secure banknotes Stable prices Safe and sound banks A resilient financial system We are the UK's central bank The Bank of England was founded in 1694 to act as banker to the Government. Today, our responsibilities are much broader. To find out more, you can watch the 60-second video below. You can also read our short guides to the economy or visit our free museum . Glossary Play What is the Bank of England? video Video transcript – What is the Bank of England? Hi, my name is Tiago, and I work at the Bank of England. The Bank of England is the central bank of the United Kingdom. We're different to a bank that you would come across in the high street. That means we don't hold accounts or make loans to the public. We issue banknotes that you spend in shops. There are over three billion of these notes in circulation, worth over £60 billion. We set the official interest rate for the United Kingdom. This is called Bank Rate. It directly influences the cost of savings, loans and mortgage rates. The Bank of England also keeps a close watch on the financial system, so you can have confidence that your money is safe, in good times and in bad.…