Bank of England minutes: New documents reveal flaws in financial crisis response January 6, 2015 The former directors of the Bank of England (BoE) have come under heavy fire after minutes of meetings from the time of the financial crisis released today revealed it suffered from a lack of transparency as well as “groupthink”. “The Bank appears to have been a very hierarchical organisation, with clear signs of ‘groupthink’ among [...]
Bank of England financial crisis minutes: BoE dubbed “the angel of death” by City watchdog January 6, 2015 At the peak of the crisis, the City watchdog was so scared that a lender’s discussions with the Bank of England could cause a run on that lender, it dubbed the Bank: “The angel of death.” Throughout the financial crisis, the Bank of England had to tread a careful line between propping up failing parts of [...]
Bank of England minutes: More light to be shed on BoE’s financial crisis response January 4, 2015 Minutes from meetings of the Bank of England’s directors between 2007 and 2009 are due to be released this Wednesday. The minutes should shed further light on the central bank’s response to the financial crisis which involved cutting its policy rate to a record low of 0.5 per cent and embarking on an ambitious and [...]
Bank of England: Mortgage approvals fall to 17-month low January 2, 2015 The number of mortgages rubber-stamped by banks dropped again in November, although by less than analysts had expected. Nevertheless, the figure is a 17-month low, underlining the trajectory of the market. During the month, banks approved 59,029 mortgages, down from 59,511 in October, but above the 58,500 analyst consensus. The fall has been a [...]
Black Friday 2014 lifts UK retail growth to 10-year high December 18, 2014 UK retail sales growth surged to a 10-year high in November thanks to roaring trade on Black Friday weekend, when retailers offered discounts on thousands of products. Falling commodity prices and the ongoing supermarket price wars have left households better off and helped boost consumer spending. Retail sales volumes rose 1.6 per cent on the [...]
Swiss central bank imposes negative interest rate: Franc drops against the euro December 18, 2014 The Swiss Central Bank (SCB) has moved to stop the franc hitting its currency exchange ceiling of 1.2 Swiss francs to the euro by imposing a 0.25 per cent tax on sight deposit account balances. A sight account is one in which funds can be transferred at speed and with no restriction, or withdrawn as [...]
Rising wages and falling inflation boost workers December 17, 2014 Wages continued to beat inflation in the year to October, official figures revealed yesterday. Regular pay (excluding bonuses) was 1.6 per cent higher in the three months to October than the same period a year ago, according to the Office for National Statistics. Inflation as measured by annual growth in the consumer price index was [...]
Inflation hawks stand ground December 17, 2014 BANK of England policy makers voted seven to two to hold interest rates at the beginning of December. The decision was announced two weeks ago but the discussion and vote split were only revealed yesterday along with the minutes of the meeting. The two who voted for a rate hike were Ian McCafferty and Martin [...]
Bank of England stress test results: Lenders braced to spend hundreds of millions of pounds on IT improvements December 15, 2014 Britain's biggest banks are set to spend the next year pushing through major revamps of their IT systems, as stress tests have revealed problems in their ability to gather data on their own loan books. The lenders have been built up over decades from mergers of smaller banks, leaving them with a range of outdated [...]
London growth strengthens as UK rebounds December 7, 2014 Economic growth in the UK rose to a stronger pace in November, new survey data shows. The UK purchasing managers’ index – a survey of private sector firms – rose to 57.6 in November from October’s 55.8, according to figures released today by Lloyds Bank. A score above 50 signifies expansion. The figures represent a [...]