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Economics

  • Reform UK: Treasury should intervene on Bank interest rates decisions 

    June 18, 2025

    Reform UK has suggested the Treasury should be allowed to contribute to the Bank of England’s interest rates decision in what would represent an intervention on its independence for the first time in nearly 30 years.  Deputy leader Richard Tice told The Times ministers should have greater power over the Bank’s key decisions while it [...]

  • Shell and BP: FTSE 100 giants get analyst backing after oil surge 

    June 18, 2025

    FTSE 100 oil heavyweights are back in analysts favour after oil prices surged from the intensifying Middle Eastern conflict.  BP and Shell shares have jumped around three per cent in the last week and climbed further as President Donald Trump weighed in on the attacks in Israel and Iran. Russ Mould, investment director at AJ [...]

  • Inflation overshoots expectations ahead of Bank of England meeting 

    June 18, 2025

    Inflation hit 3.4 per cent in the year to May, official data has revealed, which is set to be the final set of data Bank of England officials receive before coming to an interest rates decision on Thursday.  Data published by the Office for National Statistics showed services price growth, which is closely monitored by [...]

  • Tax hikes dragging investment to worst level since pandemic, CBI says 

    June 18, 2025

    Chancellor Rachel Reeves’ dramatic tax hike on employment has helped push firms’ investment plans down to the worst level in five years, contributing to a downgrade in the Confederation of British Industry (CBI)’s latest economic outlook.  The CBI now believe that the UK economy will only grow 1.2 per cent this year and slow down [...]

  • Why the Bank of England will hold interest rates

    June 17, 2025

    At every other meeting, the Bank of England publishes its monetary policy report alongside its interest rate decision. Each lengthy report includes fresh details on revisions to central forecasts, which are poured over with glee by economists and investors.. But this Thursday’s Monetary Policy Committee (MPC) meeting will offer few statistical goodies. Officials will meet [...]

  • Dollar weakens as ‘confidence in US assets continues to erode’

    June 17, 2025

    The US dollar’s traditional safe-haven status has continued to take a bruising, as investors shun the currency amid rising global tensions.  The dollar index (DXY) – which tracks the dollar’s value against a basket of currencies – has tumbled to around 98, compared to nearly 110 at the beginning of the year, as the currency [...]

  • UK economy rebound hopes gather as City ‘ready to invest’ 

    June 17, 2025

    The UK economy could rebound May as a new business survey has signalled “tentative hope” that Chancellor Reeves can deliver higher growth.  According to Lloyds’ latest sector tracker, two more areas of the economy saw output expand compared to data for April, a month which recorded a 0.3 per cent contract in GDP per official [...]

  • Further job cuts needed to cope with tax raid, businesses warn

    June 17, 2025

    Businesses across Britain are planning another round of job cuts to deal with the pain of Rachel Reeves’ national insurance raid, laying bare the scale of the financial pressure wrought by the government’s £20bn tax hike after it came into effect in April. As many as one in three businesses said they were planning to [...]

  • Inflation set to ease slightly before interest rates decision

    June 16, 2025

    UK inflation is set to ease slightly to 3.3 per cent in May, according to a poll of economists, in a final set of data to be seen by Bank of England officials before they come to an interest rates decision on Thursday.  A slightly lower rate of inflation would enthuse investors, who currently predict [...]

  • Peel Hunt: UK stock market held back by ‘lack of self esteem’

    June 16, 2025

    The boss of City broker Peel Hunt has said London markets are being held back by a “domestic lack of self esteem”. Steven Fine, Peel Hunt’s chief executive, told City AM the UK believes it is in “a lot worse shape than the rest of the world does,” which has led to a cheapening of [...]

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