"A bank's reserves are the funds it holds in its account in the central bank." Are those reserves (capital) fluid? From the tier-1 you refer I get the impressi

"A bank's reserves are the funds it holds in its account in the central bank." Are those reserves (capital) fluid? From the tier-1 you refer I get the impression these are real physical assets and in flux. Interesting. How do the UK banks handle market runs? (I must read more about the banking system) In Aus major banks are government backed with minimal competition.