UK minister warns semiconductor industry cannot ‘recreate Taiwan in south Wales’ August 3, 2023 The UK chip sector cannot “recreate Taiwan in south Wales,” tech minister Paul Scully has said, amid concerns that the UK has not pledged enough investment to compete internationally. Speaking to the Financial Times, Scully said that the UK must focus on advanced manufacturing and design instead of looking to out muscles rivals such as [...]
Bank of England lifts interest rates to fresh 15 year high in smaller than feared 14th straight hike August 3, 2023 The Bank of England today hiked the UK’s official interest rate for the 14th time in a row but by a lower degree than some had feared. Members of the nine-strong monetary policy committee (MPC) voted 6-3 in favour of a 25 basis point rise, smaller than the 50 basis point lift some in the [...]
Bank of England warns of stagnating UK economy and ‘crystallising’ inflation August 3, 2023 The UK economy is on course for a slow burning slump over the coming years and scorching inflation has started to “crystallise,” the Bank of England has warned as it lifted interest rates for the 14th time in a row. In fresh forecasts released today, the central bank said over the next three years, UK [...]
FTSE 100 close: Markets in the red as Bank of England hikes interest rates to 5.25 per cent August 3, 2023 London’s FTSE 100 stayed in the red through most of Thursday on a day which saw the Bank of England confirm a 14th consecutive interest rate hike of 25 basis points. The capital’s premier index was down 1.27 per cent by midday and closed at -0.51 per cent. The domestically-focused mid-cap FTSE 250 index, which [...]
Bank of England interest rate decision today on a knife edge, City economists predict August 3, 2023 As the City gears up for what everyone expects to be the Bank of England’s 14th straight interest rate rise at midday today, economists are split over how much more pain they think the group of rate setters will heap on the UK economy. Are the Monetary Policy Committee (MPC) poised to meet market expectations [...]
FTSE 100 close: Shock US debt downgrade sparks market sell-off in London and Europe August 2, 2023 London’s FTSE 100 plummeted during opening exchanges today after a top credit ratings agency slashed their outlook on the US’s finances. The capital’s premier index slumped 1.36 per cent to 7,561.64 points, while the domestically-focused mid-cap FTSE 250 index, which is a better reflection of the health of the UK economy, fell 1.33 per cent [...]
Why the shock US credit rating downgrade is unlikely to be the last August 2, 2023 Credit rating agencies are probably best known among the general public for giving a clean bill of health to the world’s biggest banks before they collapsed in 2007/08, nearly sparking a global economic meltdown akin to the Great Depression. Nonetheless, when they speak, financial traders listen. Judgements published by the likes of Fitch, Moody’s and [...]
Biden team: US credit rating decision ‘bizarre’ – and it’s Trump’s fault August 2, 2023 Biden administration officials complained on Tuesday about ratings agency Fitch’s downgrade of the top U.S. government credit rating, saying the group used flawed methodology and ignored a resilient economy. Leading the charge was U.S. Treasury Secretary Janet Yellen, who issued a statement declaring “I strongly disagree with Fitch Ratings’ decision” minutes after Fitch announced it [...]
Sir Jon Cunliffe to be replaced by Sarah Breeden as Bank of England deputy governor August 1, 2023 Sir Jon Cunliffe will step down as one of the Bank of England’s chief market watchers later this year, Chancellor Jeremy Hunt has announced on Tuesday. Cunliffe, who was appointed Threadneedle Street’s deputy governor for financial stability a decade ago, will be succeeded by Sarah Breeden, also a long servant at the central bank. Breeden [...]
Long-time boss of free market think tank IEA to step down after 14 years at the helm August 1, 2023 The long-time boss of free market think tank the Institute of Economic Affairs, Mark Littlewood, will step down after 14 years at the helm. The director general will step down from right-wing group this year, with the search for a successor underway. Littlewood will remain in post until a new director general is found. The [...]