Pay growth remains subdued across manufacturing, warns industry body EEF May 18, 2016 Average pay settlements across manufacturing have been subdued since the start of the year, stuck under two per cent. In the second major wage bargaining round of the year pay deals have averaged 1.7 per cent, according to EEF’s latest Pay Bulletin Survey. But it's not just manufacturing that's feeling the pinch. A separate report [...]
Eurozone deflates: Prices going down, again, but maybe not for long May 18, 2016 The Eurozone fell back into deflation in April, as prices dropped by 0.2 per cent over the year, official statistics out yesterday showed. Falling transport and energy costs pushed the headline rate of inflation down from zero in March. It marks the second month of deflation this year for the Eurozone after oil price volatility [...]
S&P warns Brexit could sap investment in UK infrastructure May 18, 2016 The majority of infrastructure investors in the UK market believe that a Brexit would zap much-needed investment in buildings, roads and power supplies for at least two years after the vote. Research by credit ratings agency S&P showed that while Britain's exit from the 28-nation bloc could cripple infrastructure investment in the short-term, capital would return once [...]
Entre-perp-neurs? Turning prisoners into entrepreneurs could save the UK economy a billion pounds May 18, 2016 Training prisoners to become entrepreneurs could save the nation more than a billion pounds and reduce the likelihood of reoffending, a new report claims. Introducing entrepreneur training for offenders and providing funding for schemes could save £1.4bn from the government's annual £4.5bn reoffending bill. Entrepreneurship could be the answer to the significant barriers former inmates face when [...]
Japan avoids recession in first quarter, but more stimulus from the Bank of Japan is still on the way May 18, 2016 Japan posted a bumper set of growth figures in the first quarter of the year to beat analysts’ expectations and avoid dipping into recession. The economy grew 0.4 per cent in the first quarter – 1.7 per cent on an annualised basis – bouncing back from a 0.4 per cent contraction in the final three [...]
Before the bell: What you need to know before the US market open May 18, 2016 Japan avoids a recession and the oil price could be about to climb over $50 per barrel for the first time this year. Here's what you need to know before the US market open at 2:30pm London time. Markets look flat before the open. S&P futures are dead-centre, not even a point off. The Nasdaq is down by 0.01 [...]
The Bank of England’s agents’ summary on Brexit, housing and the living wage May 18, 2016 The economic slowdown is set to continue right up until the EU referendum, the Bank of England's latest agents' summary has revealed. The Bank's sprawling network of so-called agents are Threadneedle's streets eyes and ears on the ground of the real economy. They monitor local conditions, talk to businesses, and assess the general state of the nation, [...]
Pound soars against the dollar as Remain takes 18-point lead in new opinion poll May 18, 2016 The pound has shot up against the dollar after a new opinion poll showed the Remain side could be soaring ahead as the EU referendum campaign enters its final five weeks. In a new Ipsos Mori poll for the Evening Standard, released this afternoon, 55 per cent of voters said they were in favour of staying in [...]
Now Markit’s household finance index comes in at a two-year low as families batten down the hatches May 18, 2016 Families are feeling a pinch in their pockets as the latest crucial indicator of consumer confidence falls to a two-year low. The Markit household finances index, which tracks disposable incomes and optimism among UK households crashed to 42.3 – on an index where scores below 50 indicate pessimism – from a score of 45.1 last month. "The reading pointed to a substantial deterioration in [...]
Employment reached a new record high, but economists still aren’t happy May 18, 2016 Employment jumped to a new record high in the first quarter of the year as wage growth held steady, though economists warned that Britain's jobs recovery is still losing steam. The total number of people with a job jumped to 31.6m – an employment rate of 74.2 per cent – in figures released by the Office for National Statistics (ONS) [...]