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Economics

  • Spending Review: IFS chief suggests Treasury ‘making up numbers’ over DOGE-style Whitehall cuts 

    June 12, 2025

    The Ministry of Defence and Department for Health and Social Care are slated to see billions cut in Whitehall budgets in what a DOGE-style body within the Treasury described as “efficiency gains” – despite both departments set to see a real terms increase in spending between 2026 and 2029.  A new government document has revealed [...]

  • Week in Business: Is Rachel Reeves About to Drop a Tax Bombshell on the UK Economy?

    June 12, 2025

    Despite talk of growth and renewal, the economic warning lights are flashing, and experts now predict another £20bn tax raid.

  • UK trade with US falls apart after Trump tariff blitz

    June 12, 2025

    Exports to the US – the country the UK trades with the most with – saw its largest monthly decrease in April since records began, official data has shown.  The onset of President Trump’s trade war with some of his closest allies and foes put governments on standby as major forecasters warned the world economy [...]

  • Our economy remains in a perilous state

    June 12, 2025

    With the long-awaited Spending Review, the UK Chancellor finally gets to reveal the goodies rather than simply be the baddie. But there will be one question lurking behind every line item, behind every pound pledged and every Treasury footnote: how are you going to pay for it?

  • UK economy shrinks more than expected in blow to Reeves

    June 12, 2025

    The UK economy shrank more than expected in April, official data has shown, suggesting momentum built up in the beginning of this year has already worn away. New figures published by the Office for National Statistics (ONS) showing a 0.3 per cent contraction come off the back of a strong 0.7 per cent growth in [...]

  • Brits to spend half a year waiting for Tax Freedom Day after Labour tax hikes

    June 12, 2025

    Tax Freedom Day is set to be on the latest ever date within a matter of years, fresh research has revealed, with Chancellor Rachel Reeves showing no signs of cutting taxes in the near future, given inflated spending.  Reeves unveiled billions more cash to be injected into several departments at yesterday’s Spending Review while funding [...]

  • Reeves’ spending spree could open £20bn gap – which taxes will rise?

    June 12, 2025

    Rachel Reeves splashed the taxpayer cash in her inaugural Spending Review, raising expectations the Chancellor may be coming back for more tax revenue in the Autumn if her growth ambitions are not met. Reeves is set to hand out an extra £190bn in government spending over the course of the parliament, in what she described [...]

  • Only roaring growth can save Reeves, and the country

    June 11, 2025

    The Chancellor had been speaking for about five minutes when it dawned on me that she wasn’t going to say anything interesting. By the time she got to discussing the finer points of Southport’s pier and Kirkcaldy’s high street, I’d moved on to other things. That’s not to say that the Spending Review wasn’t interesting, [...]

  • Spending Review: Reeves leaves London short-changed

    June 11, 2025

    Chancellor Rachel Reeves’ inaugural Spending Review fell short for London, the capital’s business advocacy group has said. Reeves’ announcements on infrastructure, transport and skills were received warmly but BusinessLDN has said the Chancellor had failed to fully deliver, leaving the capital “short-changed”. The Spending Review included a four-year settlement for Transport for London with the [...]

  • Gold tops euro to become central banks’ second favourite reserve asset

    June 11, 2025

    Central banks now hold more gold than euros in the face of global trade tensions and volatile markets, according to a report produced by the European Central Bank (ECB), making it the world’s second largest reserve asset after the US dollar.  Purchases of gold were twice as high in 2024 as the average seen over [...]

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