Bank of England governor says the U.K. central bank is weighing a digital currency

The Bank of England's governor Andrew Bailey discussed the U.K. central bank's work around digital currency on Monday.

According to a report from Bloomberg, Bailey discussed the relevance of the digital currency system with students during a webinar event on Monday.

"We are looking at the question of, should we create a Bank of England digital currency. We'll go on looking at it, as it does have huge implications on the nature of payments and society," Bailey was quoted as saying.

The Bank of England is among an array of central banks around the world that are considering whether to create wholly digital versions of their home currencies.

"I think in a few years time, we will be heading toward some sort of digital currency," Bailey said during the webinar.

Earlier this year, the Bank of England's chief cashier and director of notes Sarah John said that it is "crucial" for central banks to research digital currencies. Her comments were in the context of competition from private entities that are also looking at the creation of digital currencies.

"It is absolutely right that central banks think about whether a public sector or private sector would be best to provide a digital currency going forward," Jones remarked at the time.