US finally passes $900bn stimulus deal as hopes for recovery increase December 22, 2020 Congress last night squeezed through approval of a $900bn stimulus deal intended to give the US economy a much-needed boost. The package has been the subject of tortuous negotiations over recent weeks but an agreement was struck over the weekend. Read more: Could 2021 be the FTSE’s year? The stimulus package will re-capitalise a small [...]
Andrew Bailey faces another tough year at Bank of England in 2021 December 22, 2020 Mark Carney must be thanking the gods he stepped down as Bank of England governor in early March. Since then, his successor Andrew Bailey has had to steer the historic institution through the worst economic downturn in 300 years, complete with a bout of market panic in the spring. Under Bailey’s leadership the Bank slashed [...]
Retailers feel Tier 4 pain as footfall drops 40 per cent December 21, 2020 Retail footfall plunged by 40 per cent in the areas of England put under Tier 4 restrictions such as London, laying bare the impact of the restrictions on shop-owners during the crucial Christmas period. Prime Minister Boris Johnson on Saturday announced London and parts of the south and south east of England would go into [...]
UK house prices end year on high with £62bn more deals than 2019 December 21, 2020 UK house prices are set to finish the year on a high note despite the worst downturn since the 1700s, with the residential property market racking up £62bn more in agreed sales in 2020 than last year, according to new data. Property website Zoopla said house prices rose at an annual rate of 3.9 per [...]
Business confidence surged on vaccines before new lockdowns December 21, 2020 The start of the UK’s coronavirus vaccination programme drove up business confidence to a nine-month high in December, a survey has shown. However, the Lloyds business barometer gave a picture of businesses’ attitudes before the government tightened the lockdown rules over Christmas, bringing new uncertainty to firms. Prime Minister Boris Johnson on Saturday announced London [...]
US lawmakers poised to vote on $900bn stimulus package December 20, 2020 US lawmakers could vote on a $900bn (£665bn) stimulus package as early as today after Republicans and Democrats reportedly reached a compromise on Federal Reserve lending programmes. If Congress fails to act, much of the support aimed at the unemployed so far will expire. Other stimulus programmes are due to come to an end before [...]
Publish which firms get furlough cash, government told December 20, 2020 The government should publish a list of companies that have received furlough money to increase transparency around the scheme, amid fears of waste and fraud, parliament’s spending watchdog has said. The cross-party Public Accounts Committee (PAC) also said that chancellor Rishi Sunak’s repeated extensions to the scheme at short notice caused uncertainty that could have [...]
Furlough scheme to be extended until April and loans to continue, too December 17, 2020 The Chancellor has confirmed today that the furlough scheme will be extended an extra month until the end of April 2021. The scheme had been intended to close in March, itself an extension from an original planned end date in the middle of 2020. The furlough programme pays 80 per cent towards wages of unworked [...]
Bank of England holds rates and says vaccines ‘reduce risks’ to economy December 17, 2020 The Bank of England has left interest rates on hold at 0.1 per cent and its bond-buying programme at £895bn, saying the arrival of vaccines is likely to boost the economy next year but warning new restrictions will weigh on growth in the winter. It comes after the Bank expanded its quantitative easing programme by [...]
UK firms see ‘severe pressure’ on supply chains ahead of Brexit deadline December 16, 2020 UK manufacturing firms faced “severe pressure” on their supply chains in December ahead of the Brexit deadline, causing shortages of crucial parts, a survey has shown. It comes after 10-mile lorry queues were witnessed in Calais over the weekend, as businesses tried to stockpile in case of a no-deal Brexit. Britain and the EU are [...]