Bank of England (BOE) Chief Economist Huw Pill said on Tuesday that they will not sell gilts into a dysfunctional market, as reported by Reuters.

"We are not running faster than elsewhere in reducing our balance sheet but our process is different," Pill further explained. "As long as the market is an orderly repricing of fundamentals, quantitative tightening can continue."

Market reaction

The British pound gathered strength following these comments. As of writing, the GBP/USD pair was trading at 1.0780, where it was up 0.9% on a daily basis.