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Economics

  • Flash of ‘hope’ ahead of Budget as manufacturing roars back to life

    October 24, 2025

    The UK economy had a flash of “hope” in October after manufacturing roared back to life ending a year-long slump. The latest ‘flash’ PMI from S&P Global showed business activity jumped to a two-month high at 51.1, this was up from 50.1 in September. The growth was driven by a sharp uptick from the manufacturing sector which hit [...]

  • Consumer confidence remains downbeat amid Budget wariness

    October 24, 2025

    A small lift in consumer confidence over October has failed to take a leading index into positive territory amid fears that the upcoming Budget could damage personal finances.  Labour has made boosting living standards a central mission in government while Chancellor Rachel Reeves has recently talked up plans to lower the cost of living for [...]

  • How to actually grow the economy

    October 23, 2025

    In this special edition of The Week in Business, City AM Editor Christian May talks to Lord Matthew Elliott about his new book, co-authored with Dr Arthur Laffer, Douglas McWilliams and Lord Michael Hintze: Prosperity Through Growth – Boosting Living Standards in an Age of Autocracy and AI. The book is based on interviews with [...]

  • Tony Blair calls on Labour to ditch key net zero target

    October 23, 2025

    Tony Blair’s think tank has called for the government to ditch its 2030 clean power target as it urged the Labour government to focus on making electricity cheaper in order to persuade Brits to use it over gas.  In a report published by the Tony Blair Institute (TBI), researchers called for the government to “solve” [...]

  • Lloyds finance boss refuses to rule out motor finance legal challenge

    October 23, 2025

    The finance boss of Lloyds Banking Group has refused to rule out a legal challenge to the financial watchdog’s motor finance redress scheme after the bank’s provision for payouts under the scheme dealt a blow to its bottom line. William Chalmers, the chief financial officer of Lloyds, said the FTSE 100 giant was “concerned” about [...]

  • Is Brexit really to blame for the Chancellor’s growth headache?

    October 23, 2025

    As the government prepares the public psyche for substantial tax hikes at next month’s Budget, the Chancellor has taken a Brexit-shaped risk.  Keir Starmer’s government has largely opted for caution over talking about relations with the European Union. The Prime Minister has insisted that re-opening the Brexit debate would bring only “turmoil” but he also [...]

  • Lloyds profit slides 36 per cent after hiking motor finance provisions

    October 23, 2025

    Lloyds Banking Group recorded a major hit to profit in the third quarter after the group was forced to nearly-double its provisions for the motor finance scandal. The bank posted a third-quarter profit before tax of £1.2bn, falling 36 per cent from the £1.8bn recorded in 2024. For the year-to-date the FTSE 100 titan has [...]

  • Autumn Budget: Reeves told avoid ‘pick and mix’ tax grabs

    October 23, 2025

    Ahead of the Autumn Budget, City Reporter Samuel Norman sits down with top industry names for a Budget Briefing. This week, the managing director of TheCityUK warns Reeves not to patch up the tax tire just for it to deflate once more. The Chancellor has touted financial and professional services for their role “at the [...]

  • Inflation stays hot as UK’s economic woes deepen

    October 22, 2025

    Inflation in the year to September remained sticky, new figures have shown, in further evidence that the UK’s economic woes have deepened and hit Brits harder than those in other countries.  September was the third consecutive month that inflation hit 3.8 per cent, nearly double the Bank of England’s two per cent target. It came [...]

  • The axe will have to fall on Britain’s runaway public spending

    October 22, 2025

    Rachel Reeves likes to insist that she will “never play fast and loose with the public finances.” It’s a phrase she deploys quite often, not least when it looks as if the bond market could do with a bit of reassurance, and it means that she won’t breach her “cast iron” fiscal rules. Adherence to [...]

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