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Economics

  • New budget 2015: George Osborne uses CBI speech to lay out government plans to tackle the productivity puzzle

    May 20, 2015

    George Osborne offered a glimpse of what to expect at the 8 July budget when he gave a speech to the Confederation of British Industry (CBI) this evening, with productivity a major focus. Also top of the agenda is the merging of the Shareholder Executive – the body that runs the government’s financial interests in [...]

  • George Osborne CBI speech: Government to merge Shareholder Executive and UK Financial Investments to help return public assets to the private sector

    May 20, 2015

    George Osborne announced this evening that the government is to merge the two bodies that manage the majority of the taxpayer’s stakes in businesses into one company. In a speech to the Confederation of British Industry, the Chancellor said the Shareholder Executive (ShEx) and UK Financial Investments (UKFI) would be made into one holding company, [...]

  • Eurovision Song Contest 2015: Three charts showing what would happen if winning gave you lots of power

    May 20, 2015

    At 8pm on Saturday night, music fans from across the continent will turn on their TVs and tune into the annual Eurovision Song Contest. As usual, the event promises to fill our screens with crazy costumes, emotional love ballads and over-enthusiastic presenters covered in glitter.   But it's not just a contest for raw musical [...]

  • Bank of England minutes: Policymakers vote 9-0 to keep rates on hold

    May 20, 2015

    Minutes from the Bank of England's May meeting have shown little change, with the monetary policy committee again voting 9-0 to keep interest rates at 0.5 per cent. Two  members felt the decision was "finely balanced", implying they're thinking about reversing their vote. All members agreed interest rates "were more likely than not" to rise over the [...]

  • Enjoy it while you can! Analysts say deflation will not be here to stay

    May 19, 2015

    Deflation has finally arrived in the UK for the first time since the 1960s, but economists are almost unanimous in saying it will be temporary.   Inflation – as measured by the year-on-year change in the consumer price index (CPI) – was minus 0.1 per cent in April. The last time inflation was this low, [...]

  • London house prices soaring above the rest of the UK with average cost now £498,000

    May 19, 2015

    House prices in the capital continue to outpace prices in the rest of the UK, according to the latest figures from the Office for National Statistics (ONS). London house prices were up 11.2 per cent in the year to March 2015, compared to a nationwide average of 9.6 per cent, according to the ONS house price [...]

  • Eurozone prices bounce back as deflation ends

    May 19, 2015

    The Eurozone has escaped deflation, officials figures yesterday confirmed. Annual inflation in the Eurozone was zero per cent in April, according to Eurostat, the EU’s statistical office. It means that prices of goods and services typically consumed by households were the same price in April as a year earlier. The data, which is in line with [...]

  • Euro tumbles as policy makers bring forward bond purchases

    May 19, 2015

    The European Central Bank (ECB) will buy extra bonds during May and June to make up for the amount it believes it will be unable to purchase in July and August, an ECB official said yesterday. Analysts have noted that July and August can be quiet months for the bond market, and it may be difficult [...]

  • Euro falls below 1.2 against the dollar as ECB hints it will ramp up QE

    May 19, 2015

    The euro fell back below $1.12 today, after a European Central Bank (ECB) policymaker hinted that the Bank is preparing to ramp up its bond-buying programme before the summer. By mid-afternoon in New York, the currency had fallen 1.42 per cent to $1.1154 – the first time it has dropped below the $1.12 mark since [...]

  • UK house prices: Scotland’s growth at its highest since 2007 as prices accelerate

    May 19, 2015

    The UK’s house price growth rose to 9.6 per cent for the year to March, with Scotland the east of England and London driving the rise. The figures The 9.6 per cent rise in the UK for the year to March was 1.2 percentage points higher than the 7.4 per cent recorded in February. The [...]

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