Analysis: This shapeshifting inflation surge ain’t over yet October 19, 2022 Today’s inflation figures may have caused a few chairs to be flung at walls in the Bank of England. Prices are up 10.1 per cent over the year to September, above the City’s expectations and up from August. They were in line with the Bank’s forecasts though, a genuine rarity. Remember, the central bank has [...]
Bank of England to launch record rate rise to step up fight against 40-year high inflation October 19, 2022 The Bank of England will have to hike interest rates by a record whole percentage point at its meeting on 3 November, City economists are betting today after inflation returned to a 40 year high of 10.1 per cent last month. Prices are still rising sharply despite the Bank already lifting borrowing costs seven times [...]
Small business confidence tumbles on swelling costs and weaker demand October 19, 2022 Intensifying cost pressures and a slowdown in consumer spending as a result of cost of living crunch squeezing Brits has led to a collapse in confidence among small firms, a new survey out today shows. Net confidence plummeted to minus 35.9 in the three months to October, down by 11.2 points over the last quarter, [...]
Hunt mini-budget overhaul right for now but investment relief needed, Thatcherites urge October 19, 2022 New chancellor Jeremy Hunt’s decision to junk pretty much all of prime minister Liz Truss’s botched mini-budget has damaged the UK’s tax competitiveness, a new report out today says. Britain has dropped to 33rd out of the 38 nations part of the Organisation for Economic Cooperation and Development (OECD) as a result of Hunt’s tax [...]
Truss mini-budget sparked five worst days on UK debt market on record, Bank of England says October 18, 2022 Prime minister Liz Truss’s botched mini-budget triggered the five most volatile days on the UK debt market since records began 22 years ago, the Bank of England said today. Financial markets were rocked by Truss and her former chancellor Kwasi Kwarteng launching £45bn worth of unfunded tax cuts and raising borrowing to fund a two-year [...]
The Bank of England: From whatever it takes to whatever it breaks October 18, 2022 Markets have responded positively to the effective cancellation of Kwasi Kwartang’s ‘mini-budget’ from 23 September that new Chancellor Jeremy Hunt announced yesterday. However, it remains clear that the Bank of England is more focussed on the longer-term implications of inflation. The Old Lady confirmed it is no longer willing to offer unending support to markets. [...]
New breed of private capital firms will face performance headwinds October 18, 2022 | City Talk Under the private equity fundraising model, every few years fund managers secure capital commitments with a 10-year duration and charge management and advisory fees during the lock-up period. While longer-dated products have emerged over time, the basic pattern has remained essentially unchanged. Unfortunately, fundraising is cyclical. Downturns require patience: fund managers must wait until the [...]
UK borrowing costs fall below US, Italian and Greek equivalents after Hunt mini-budget reversal October 18, 2022 UK borrowing costs have dropped below their European and transatlantic counterparts after new chancellor Jeremy Hunt tore up prime minister Liz Truss’s tax cutting mini-budget. Since Truss and her former chancellor Kwasi Kwarteng decided to launch £45bn of unfunded tax cuts in a bid to boost economic growth, gilt yields have shot higher. Rates on [...]
UK borrowing costs tumble after Hunt shreds Truss’s mini budget October 17, 2022 UK borrowing costs scaled lower today after new chancellor Jeremy Hunt ripped up prime minister Liz Truss’s tax cutting mini budget. The yield on the 30-year UK gilt, which has suffered heavy selling since the mini budget last month, fell around 40 basis points to 4.33 per cent. Rates on the 2-year and 10-year UK [...]
Exclusive: Over 50,000 small businesses in London collapse as SME bloodbath rages October 17, 2022 Swelling energy bills and a softening UK economy have sparked a surge in small business closures in London, exclusive figures shared with City A.M. reveal. The number of SMEs that have disappeared in the capital swelled to 53,880 this year, up sharply from 37,350 in 2017, according to analysis of Office for National Statistics figures [...]