Andrew Bailey: Interest rate rise needed to slow inflation but economy not strong enough September 28, 2021 Andrew Bailey said in a speech last night to the Society of Professional Economists that rate of recovery from the pandemic had slowed over recent months, adding: “And that slowing is continuing.” The Bank of England governor jokingly asked “when is the plague of locusts due” as he warned the economy faces “hard yards” ahead. [...]
End of furlough: ‘Time for the UK economy to put its big girl pants on’ September 27, 2021 This week, the government’s £70bn furlough support scheme comes to an end. The end of the Job Retention Scheme, or furlough, will force organisations to make decisions regarding the future of furloughed employees. City A.M. sought the views of a number of small business owners about whether now is the correct time to remove the [...]
Wave of redundancies looming: 70 per cent of UK employers expect job cuts as furlough scheme ends September 27, 2021 Nearly 7 in 10 employers expect to make redundancies within the next year, the majority of which will take place within the coming months, according to new research shared with City A.M. this morning. According to the study from Renovo, 69 per cent of all UK employers anticipate job losses, with 46 per cent of organisations [...]
Brits’ energy bills to swell more than £300 with poorest hit hardest September 27, 2021 Brits’ household bills are set to swell over the next year, with the poorest households being hit hardest by the energy crisis, according to new research. Energy bills will rise by more than £300 over the next year, highlighting the scale of the impact the crisis will have on Brits’ finances, shows research by the [...]
This A.M.: Evergrande concerns take a back seat while German election ends in gridlock September 27, 2021 Despite hitting two-month lows last week, markets in Europe eventually managed to finish higher, on the week, reversing a run of three successive weekly losses. Concerns about contagion effects from Evergrande haven’t gone away, but they appear to have taken a back seat to worries about supply chain blockages, surging energy prices and rising inflationary [...]
Furlough worth £70bn but unemployment fears mount as scheme ends on Thursday September 27, 2021 The furlough scheme cost the government £70bn and has been successful at preventing unemployment from skyrocketing, but concerns are sharpening about the jobs market’s ability to stand on its own two feet as the scheme ends this week. The initiative cost roughly the equivalent of 18 months’ of funding for UK schools, according to research [...]
‘Triple-whammy’ of inflation, energy bills and tax rises to eat into household budgets September 26, 2021 Incoming budget pressures over the next six months could squeeze the budgets of many Brits. In fact, a “triple-whammy” may leave low income families more than £1,000 worse off annually, according to a think tank. Inflation, rising energy bills and the looming health and social care tax could leave households worse off even after increases [...]
Government to scale up nuclear power production after ‘years of dithering’ September 26, 2021 The government will back a rapid expansion of the UK’s nuclear energy production after “years of dithering” as the energy crisis prompts it to strengthen the country’s electricity supply. Ministers are understood to have zeroed in on nuclear energy as a means to helping the government achieve its net zero target by 2050, according to [...]
Lorry driver squeeze and CO2 shortage leaves Brits unable to buy food September 24, 2021 Severe lorry driver and CO2 shortages are stopping Brits from buying food, according to official statistics released today. Around one in six people are unable to buy essential food items due to them not being available, according to the Office for National Statistics (ONS). A paucity of lorry drivers has led to lengthy delays in [...]
Exclusive: Fund managers say UK equities are still undervalued despite Brexit and Covid bounce back September 24, 2021 Nearly nine in ten professional investors from the UK, US and Germany believe UK equities are undervalued, according to new research shared exclusively with City A.M. this morning. The investors, who collectively manage over $300bn, said in a MBH survey that one of the key reasons for optimism around UK equities is that the country [...]