Greek crisis: Government orders banks to re-open Monday as Alexis Tsipras reshuffles cabinet July 18, 2015 The Greek government has ordered the cash-strapped country's banks to re-open on Monday ahead of talks regarding a third bailout deal. It will also mean the Greek people can withdraw a maximum of €420 (£291) a week, in place of the stricter limit of €60 a day currently in place. Greece was forced to close [...]
Former Greek finance minister Yanis Varoufakis says that Greek reforms are going to fail July 18, 2015 Former Greek finance minister Yanis Varoufakis has said that the economic reforms Greece has signed up to are "going to fail" ahead of talks on a third bailout for the cash-strapped country. He told the BBC that the medicine administered to the Greek economy by its so-called "troika" of creditors – the European Union, the European Central [...]
Here’s what analysts think about Bank of England governor Mark Carney’s interest rate rise comments July 17, 2015 Bank of England governor Mark Carney has dropped a few hints interest rates could rise from their record lows sooner than markets are currently expecting – but yesterday he was unusually clear. During a speech in Lincoln he said: "In my view, the decision as to when to start such a process of adjustment will [...]
Guarantor loans are “as damaging” as payday loans, Citizens Advice says July 17, 2015 A charity has warned as Britain's regulators heap pressure onto payday lenders, problems linked with this sector are simply shifting to other parts of the market for credit products. Citizens Advice said "guarantor loans", which allow borrowers to use the name of someone else, usually a friend or family member, as security for a loan. [...]
Good news for landlords: Rents are rising faster than house prices July 17, 2015 All right, so landlords might have been hit by the Chancellor's new rules on mortgage tax relief – but rents might just help to make up for that, after they rocketed 5.6 per cent in the year to June – the fastest rise since 2009. Read more: Landlord it by Summer Budget proposals? Here's what [...]
Ex-MPC member Danny Blanchflower says rate rise would harm the UK July 17, 2015 Former Bank of England policymaker Danny Blanchflower has warned that an interest rate rise in the near future would harm the UK. Read more: Carney fuels speculation of 2015 interest rate hike "It may well be that the Fed [US Federal Reserve] is going to put off raising so it seems rather strange that Carney is [...]
IMF’s Christine Lagarde says Greek plan not viable without debt reduction July 17, 2015 IMF chief Christine Lagarde has said that the deal between Greece and its creditors will be "categorically" impossible without some form of debt relief. "The answer is quite categorically not," she said in response to questions on the viability of the €86bn (£59.8bn) three-year aid package on France's Europe1 radio station. Lagarde added any debt [...]
Mark Carney fuels speculation of 2015 interest rate hike July 16, 2015 Bank of England governor Mark Carney last night dropped another strong hint that markets could be underestimating the likelihood of a 2015 interest rate hike. “In the current circumstances there is no need to wait to raise rates because of a risk management approach and run the risk of inflation overshooting target,” he said in [...]
Jeremy Browne is recruited to boost the City’s voice in Brussels July 16, 2015 Former minister of state for foreign affairs Jeremy Browne is set for a new post in Brussels, promoting the interests of the City in EU policy making. The City of London Corporation – the City’s governing body – will be placing Browne in its Brussels office as a special representative for the City, it announced today. [...]
China’s unravelling: Will it devalue the yuan next? July 16, 2015 China could be gearing up to join the global currency wars by devaluing the renminbi. So far this year more than 30 central banks from all over the world, including South Korea and Australia, Canada and Hungary have cut interest rates – which works to weaken their currency. Since the global financial crisis, central [...]