The Bank of England is preparing to stop selling 20- and 30-year gilts, or UK government bonds, after economists estimated that sales of long-term debt have cost taxpayers £22bn since 2022. The plan, developed with the Treasury and the Debt Management Office (DMO), would revise the Bank's quantitative tightening (reducing a central bank's bond holdings) programme as global borrowing costs rise ahead of John Healey's first Budget on Oct 28. The Bank would continue active sales, expected by investors to total £20bn over the coming year, but would exclude longer-dated bonds, where losses have been greatest. It would also sell short- and medium-term holdings directly to the DMO rather than investors. The Bank's bond portfolio has fallen from £895bn, accumulated through quantitative easing (buying bonds to support the economy), to £490bn; about £150bn consists of gilts maturing in more than 20 years. Deutsche Bank analysts estimate long-term bonds are being sold at an average discount of around 50pc, while the Office for Budget Responsibility puts the five-year cost of unwinding the portfolio at roughly £100bn. Halting the long-term sales could save an estimated £2.5bn annually by the end of the decade, but would leave the Bank with more reserves on which it must pay interest, complicating Healey's fiscal rule. A decision rests with the Bank and is expected Thursday alongside an interest-rate vote, as markets warn of four increases over the next year.