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Economics

  • As it happened: Starmer dealt defence blow as investors react

    June 11, 2026

    This was the City AM liveblog on Thursday 11 June. John Healey resigned as defence secretary over a lack of funding for the armed forces, heaping pressure on Sir Keir Starmer. Industry officials reacted with regret and paid tribute to Healey. The FTSE 100 also climbed on Thursday to defy fresh tensions between Iran and [...]

  • Reeves aims to lure US workers through tax reform

    June 11, 2026

    Chancellor Rachel Reeves is considering a tax break for US workers by introducing fresh reform, reflecting her drive to lure more wealthy migrants despite a wider crackdown on immigration.  The government has launched a consultation on the double taxation for investors who may be based in the UK but who work for US firms that [...]

  • One in three defence firms ‘can’t find graduates to hire’ 

    June 11, 2026

    Nearly one in three defence firms can’t find graduates to hire despite a youth unemployment crisis, a new report has found, as universities have been urged to work more closely with businesses.  Research by the University of Manchester and CBI Economics has suggested that skills shortages among young people has made it more difficult for [...]

  • Starmer dodges questions on funding for defence spending

    June 10, 2026

    Sir Keir Starmer dodged several questions over funding for an uplift in defence spending as he appeared to suggest that the full defence investment plan will take weeks to be published. Starmer refused to confirm the publication date for a 10-year blueprint on defence spending as he stuck to a commitment that it would be [...]

  • Workspace slashes dividend as profit plummets amid new boss’ shake-up

    June 10, 2026

    Real estate group Workspace slashed its dividend in the latest financial year as the firm plunged to a hefty loss. The FTSE 250 company posted a £120.5m loss before tax, from £5.4m last year, which was driven by nearly £160m in write-downs of property valuations amidst a changing strategy. New boss Charlie Green – who [...]

  • As it happened: FTSE 100 see-saws amid global jitters as market outlook turns ‘risky and dangerous’

    June 10, 2026

    Good morning and welcome back to the City AM liveblog. Markets were not getting too excited at the beginning of this week when Donald Trump said a peace deal with Iran was “very close”. And last night’s exchange of strikes might explain why. The US has said it completed a series of strikes against Iran [...]

  • An emboldened – or desperate – new government will look to wealth taxes

    June 10, 2026

    Wealth taxes are climbing back up the political agenda as the Labour party begins the process of reinventing itself for a post-Starmer era. Wes Streeting thinks he’s found “a wealth tax that works” by hiking capital gains tax while Andy Burnham is flirting with a land value tax that would naturally hit wealthy areas the [...]

  • From mild to wild: What impact will AI have on banking jobs? 

    June 10, 2026

    Top banking bosses have issued their AI verdict after Standard Chartered stunned the sector with plans for sweeping job cuts last month. In this week’s column Samuel Norman looks at whether a reckoning could be on the horizon. The big-name banker must have known how the conversation would go when he arrived for lunch with [...]

  • ‘Course correction’: UK economy to contract as ‘energy shock catches up’

    June 9, 2026

    The UK economy is expected to contract despite a boost at the start of the year, with economists warning that the war in Iran’s energy price shock will now show up in fresh data.  Economists believe that the UK economy declined by 0.1 per cent in April. Official figures will be published on Friday.  The [...]

  • Banks ‘not ready’ for motor finance scheme, says City watchdog

    June 9, 2026

    The City watchdog has warned that motor finance lenders are “not as ready as we would expect” for the introduction of its long-awaited redress scheme. Nikhil Rathi, chief executive of the Financial Conduct Authority (FCA), has written to the Treasury Committee following inquiries around the legal challenges to its car mis-selling scheme. The regulator published [...]

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