In June 2023, the Bank of England (BoE) launched its first system-wide exploratory scenario (SWES) to improve its understanding of how banks and non-bank financial institutions (NBFIs) react to sudden market stresses and the impact of their reactions on the broader financial system. BoE explored the potential impact on U.K. financial markets of a sudden spike in the yields on U.K. government bonds and sterling corporate bonds. Although the scenario revealed significant resilience across participants and the market, it also found that certain areas of concern, including NBFIs’ overestimating their access to liquidity, which could have amplified the effects of the hypothetical shocks had certain variables been different. This article discusses the design of the SWES and BoE’s findings and recommendations, which were released in late 2024. See “FCA ‘Dear CEO’ Letter Highlights Focus on Private Markets and Resilience” (Apr. 10, 2025).