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Economics

  • Millions of savers to face ‘hidden tax burden’ 

    August 5, 2025

    Millions of Brits will face a ‘hidden tax burden’ this year, fresh HMRC data has revealed, as thousands more are set to pay tax on the interest from their savings. Over 3.35m people are projected to be taxed on savings interest in 2025 – where the interest earned on savings exceeds the tax-free allowance and [...]

  • UK economy sees fastest services orders slowdown since Liz Truss

    August 5, 2025

    Hopes of a quick recovery to the UK economy are fading as orders in the services sector fell at the fastest rate since Liz Truss’ mini-budget in late 2022, fresh data has suggested. S&P Global’s latest composite purchasing managers’ index (PMI) showed a fall from a score of 52 in June to 51.5, which remains [...]

  • Cut interest rates to four per cent, City AM Shadow MPC says

    August 5, 2025

    Top economists have voted 8-1 for interest rates to be slashed by 25 basis points in City AM’s new Shadow Monetary Policy Committee (MPC). Amid high inflation and falling job numbers, the Bank of England is set to face a difficult finely balanced decision on Thursday on whether to cut interest rates from the current [...]

  • Brits are gloomy – and not just about the weather

    August 5, 2025

    Writers often agonise over how a column performs. I can see how many people read the online version of the Editor’s Letter and while our analytics don’t yet tell me what people make of my opinions they often spark a lively debate on LinkedIn. That can be satisfying, but that’s a self-selecting crowd of people [...]

  • Voters say Nigel Farage’s Reform is the ‘party of UK business’

    August 5, 2025

    Reform UK is now seen as the most pro-business party in Westminster, fresh polling produced for City AM has found, in one of the first major signs the public is warming to Nigel Farage’s economic policies.   Political parties have long battled to present themselves as a pro-business party, with Labour’s Chancellor Rachel Reeves wooing company bosses [...]

  • Boeing defence workers go on strike over pay dispute

    August 4, 2025

    Thousands of Boeing defence workers have gone on strike for the first time in nearly 30 years in a fresh blow to the struggling aircraft company. Members of the International Association of Machinists and Aerospace workers (IAM) working at Boeing defence manufacturing facilities in in Illinois and Missouri voted against the firm’s latest offer over [...]

  • Swiss shares fall as the country feels the wrath of Trump’s tariffs

    August 4, 2025

    Shares in Swiss firms dropped on Monday morning as markets digested  the consequences of US president Donald Trump’s high tariffs. The Swiss Market Index dropped by 1.9 per cent to 11,835 francs upon opening this morning, before easing its losses to trade at 1.54 per cent down. It clawed its way back to 0.77 per [...]

  • Bank of England to cut interest rates but faces dilemma on outlook

    August 4, 2025

    The Bank of England is unlikely to signal faster interest rate cuts at this Thursday’s meeting, leading economists have said, leaving the future of monetary policy in the balance.  Monetary Policy Committee (MPC) members are widely expected to agree to cut interest rates by 25 basis points to four per cent.  But City analysts have [...]

  • High street banks lost £100bn in customer savings to rivals since 2019

    August 4, 2025

    High street lenders have lost the equivalent of £100bn in customer savings to online banks and building societies as they come under pressure to adapt amid a major shift in the sector, according to a report. KPMG’s latest State of the Banks report found that traditional banking groups saw their market share in deposits drop [...]

  • Borrowing costs set to ease further as Bank contends with weaker jobs market

    August 3, 2025

    Borrowing costs are set to ease further as the Bank of England contends with stagnant growth and rising unemployment, experts have predicted. Most economists think the Bank’s Monetary Policy Committee (MPC) will cut interest rates by 0.25 percentage points to 4% on Thursday. It could release pressure for some mortgage holders amid hopes that cheaper [...]

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