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Economics

  • Londoners have the second-lowest perception of their wealth in England

    December 15, 2021

    Despite having the highest average total wealth in the country, London dwellers’ perceptions of their financial wellbeing are particularly poor, according to this year’s UK financial health index by wealth manager St James’s Place. Data from the index released today, ahead of The Bank of England’s announcement of its next move on interest rates later this [...]

  • London markets post mixed bag as investors mull Bank’s next rate move

    December 14, 2021

    London markets were a mixed bag yesterday as investors mulled the Bank of England’s next move on interest rates. A strong jobs print boosted investor sentiment yesterday morning, lifting the capital’s main indexes. However, the FTSE 100 gave up morning gains to close 0.18 per cent lower at 7,218.64 points, as did the mid-cap FTSE [...]

  • IMF takes swipe at Bank of England over rate inertia amid soaring inflation

    December 14, 2021

    The International Monetary Fund (IMF) today fired a warning shot at the Bank of England, urging the central bank to hike interest rates now to tame runaway inflation. The world’s economic watchdog told the Bank it needs to “withdraw the exceptional support provided during” the Covid-19 crisis or risk facing spiralling inflation. In a stark [...]

  • Dual threat of Omicron and Plan B to destabilise UK jobs market recovery, warn City economists

    December 14, 2021

    The dual threat of the Omicron variant and strict restrictions on daily life to curb its spread will smash the UK jobs market, City economists warned today. Measures to cut Brits’ social contact in a bid to quash the new coronavirus strain, including being encouraged to work from home, will hit retail, leisure and hospitality [...]

  • Labour market squeeze: UK unemployment rate falls to 4.2 per cent as vacancies soar to 1.2m

    December 14, 2021

    The UK unemployment rate decreased by 0.4 percentage points on the quarter to 4.2 per cent for the three months to the end of October. A rise in more part-time work is partly behind the fall, according to Office for National Statistics data out this morning. Young people, a group that bore the brunt of [...]

  • UK businesses resist hiking prices despite cost assault

    December 14, 2021

    UK businesses are swallowing swelling costs in a bid to avoid wiping out demand by hiking prices, reveals fresh research published today. The chasm between the amount it costs firms to produce goods and the price they charge for their products has widened to the largest on record, research by Lloyds Bank found. Soaring costs [...]

  • Full blown lockdown would plunge UK economy far below pre-pandemic size

    December 13, 2021

    A full blown lockdown would derail the UK’s economic recovery from the Covid-19 crisis, reveals fresh analysis from City economists. Shutting down the retail, leisure and hospitality sectors will cause the British economy to shrink to six per cent below its pre-pandemic size, according to Pantheon Macroeconomics. Imposing tougher restrictions on businesses that rely on [...]

  • UK firms slash borrowing to reduce swelling debt burden

    December 13, 2021

    British businesses are set to slash borrowing this year as firms repay debt to repair the damage inflicted on them by the Covid-19 crisis, according to a new report released today. A return to normal patterns of economic activity after the disruption caused by the pandemic will drive a sharp pull back in business borrowing, [...]

  • Record volume of UK factories hike prices in bid to survive inflation assault

    December 13, 2021

    UK factories are hiking prices en masse in a bid to withstand an inflation onslaught, reveal fresh figures released today. A record number of British factories are raising prices as the sector scrambles to offset swelling costs to protect margins, research by BDO and Make UK found. The “eye watering impact of escalating cost pressures” [...]

  • Omicron to drive markets amid busy week of economic data

    December 12, 2021

    Once again, Omicron news is set to drive sudden reactions from investors amid a busy week of closely watched economic data. Sentiment is more muddled due to uncertainty over the extent the reintroduction of tougher Covid-19 prevention measures in the UK could whack economic growth over the coming months. Despite greater confusion over the trajectory [...]

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