Le Project Fear: Frexit will cost France €30bn, says bank governor February 13, 2017 Marine Le Pen’s plans to pull France out of the European Union will raise the costs of servicing the country’s debt by roughly €30bn (£25.5bn), according to the governor of the Banque de France. Speaking on French radio, François Villeroy de Galhau warned quitting the Eurozone and the single currency will “impoverish” France. “With the euro, [...]
Brexit not as bad for the UK as we thought, says EU, as it revises country’s growth figures upwards February 13, 2017 The European Commission has become the latest body to lift its UK growth forecast, admitting today that the impact of Brexit might not be as bad as it originally feared. EU forecasters now expect the UK economy to expand 1.5 per cent this year, up from their prediction of just one per cent growth, made [...]
Japanese economy grows one per cent, helped by weaker yen February 13, 2017 Japan’s GDP grew at an annualised rate of one per cent in the final quarter of 2016, falling slightly short of analysts’ expectations. Growth between the third and fourth quarters fell to 0.2 per cent, the slowest pace in the year and down from the 0.6 per cent growth rate achieved in the first three [...]
For the first time, pensioners are better off than working households February 13, 2017 We all knew older generations are increasingly better off than their younger counterparts – but now a new study has found recent retirees are actually living on more than working households. Incomes across older generations have risen so fast, the average pensioner household now makes £20 a week more than the average working-age household. In [...]
Early signs suggest there’s already been a fall in supply of EU nationals – contributing to UK skills and labour shortages February 13, 2017 Sectors employing a high number of EU nationals are starting to feel the pinch as uncertainty lingers over future prospects. According to the CIPD and Adecco’s Labour Market Outlook, while the short-term outlook for employment remains strong, skills and labour shortages are starting to become evident in sectors employing a raft of EU nationals. Despite [...]
Consumer spending growth at four month low after Christmas boom February 13, 2017 Consumer spending growth slowed to 0.4 per cent on the year in January, putting it at a five month low according to Visa’s UK Consumer Spending Index. Following the Christmas shopping jump of 2.5 per cent in December, January proved sluggish and saw the fastest decline of face-to-face spending in four years (-3.1 per cent). [...]
The Treasury needs to rebuild public trust February 13, 2017 Lord Kerslake popped up on Sunday morning to discuss the findings of his review into the current state of the Treasury. Kerslake, a former head of the civil service, was commissioned by shadow chancellor John McDonnell to assess the capabilities and remit of HMT and his findings look set to make interesting reading. Kerslake’s report is [...]
Inflation to hit 1.9 per cent for January as London businesses battle fastest cost rise since 2008 February 13, 2017 Consumer price inflation is expected to reach 1.9 per cent in January, taking it to its highest level since June 2014. It comes as businesses in the capital have faced the fastest rise in input costs for more than eight years during January. IHS Global Insight forecasts a third successive marked increase for the Consumer [...]
Greece won’t accept “illogical” demands from lenders, PM says February 11, 2017 Greece's prolonged bailout review will be completed positively, Greek Prime Minister Alexis Tsipras said today, but he added Athens will not accept "illogical" demands from lenders. Speaking to his leftist Syriza party, Tsipras said the review would be completed "without concessions in matters of principle" and warned all sides to "be more careful towards a country that has been pillaged [...]
The Federal Reserve’s vice chair doesn’t think Dodd-Frank regulations will be fully repealed February 11, 2017 Dodd-Frank financial regulation legislation may be adjusted rather than repealed altogether, US Federal Reserve vice chair Stanley Fischer said in a speech today at a Warwick University economics summit. "There are many aspects that are extremely important," Fischer said. "Significantly reducing capital requirements would reduce the safety of the system. I would certainly hope it's not going to happen." [...]