Since the FPC will, as a guiding principle, move the CCB and the CCLB together, it would consider the same information in deciding on their use. Many indicators can be useful in shaping the decisions of the FPC on countercyclical tools and helping to explain those decisions publicly. No single set of indicators can ever provide a perfect guide to systemic risks, or to the appropriate policy responses, due to the complexity of financial interlinkages, the tendency of the financial system to evolve over time, and time lags before risks become apparent. The choice of indicators will also evolve over time as the FPC learns from experience, as data availability and quality improve, and as new research is undertaken. Judgement will play a material role in all FPC decisions and policy will not be mechanically tied to any specific set of indicators. To support its judgement, the FPC will monitor a wide set of information, varying over time depending on the emerging risks, including both market
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