Libor’s U.K. Overhaul Could Get a 10-Year Fix to Avert Chaos (1)

U.K. regulators have raised the prospect that an artificial sterling Libor number could be published for up to a decade after the controversial benchmark is retired at the end of this year.

Concerned that some troublesome financial contracts won’t be able to switch to replacement benchmarks, the Financial Conduct Authority plans to publish a “synthetic” London interbank offered rate. The Bank of England said Friday that the FCA’s power to do this will need to be reviewed annually for a maximum of 10 years.

Most Libors are due to expire at the end of 2021, but regulators are concerned that ...