Bank Deputy Governor John Gieve, whose remit is financial stability, has been replaced at a speech on Thursday so he can stay in London to monitor market developments. But a spokesman said rumours that senior Bank executives had cancelled a trip to the Far East due to a possible problem were "complete fantasy".
CEOs or other senior executives from the top five banks are due to meet central bank officials on Thursday, but the spokesman said it was organised last week as part of regular discussion on issues.
HBOS HIT HARD
Concerns about a faltering economy, exposure to risky assets and high funding costs remain at the heart of the weakness across bank stocks, and interbank borrowing rates nudged higher for a ninth straight day despite a 75 basis point cut in U.S. interest rates late on Tuesday.
Northern Rock's crisis was sparked by its failure to raise funds in wholesale markets following a credit crunch and there are worries there could be more casualties.
A spokesman for HBOS said: "We're a very diversified business with an exceptionally strong balance sheet...We continue to access wholesale markets whenever we feel it is appropriate to do so."
HBOS shares have tumbled 39 percent this year, compared with a 15 percent fall for the UK bank sector.
Several analysts said the extent of HBOS's early fall appeared irrational given its reassurance on capital, but it faces a tougher outlook than most rivals.
The interbank cost of borrowing three-month sterling hit a fresh high for the year of 5.98 percent. Lending has slowed amid worries about counterparty risks, making banks wary about lending to one another.
The cost of insuring HBOS's debt against default rose sharply and then retreated to end slightly lower on the day.
Credit default swaps on five-year senior HBOS debt traded at about 244 basis points, according to Markit, meaning it cost 244,000 euros (192,000 pounds) per year to insure 10 million euros of its debt.
They had earlier widened to 265 basis points from 249 basis points on Tuesday, double its cost at the start of the month and compared with just 7 basis points a year ago.
The Bank said on Wednesday it had not made any loans through its standing facility in the previous trading session.
