Chancellor Philip Hammond calls for a four-year “soft Brexit” as the UK leaves the EU December 12, 2016 Chancellor Philip Hammond has backed a transitional period to ease Britain’s exit from the European Union, bringing relief in the Square Mile but exposing a potential split with senior Cabinet colleagues. Hammond said yesterday that “thoughtful politicians” could see the need for a “longer period to manage the adjustment” of leaving the EU. The comments [...]
Goldman Sachs banker Gary Cohn becomes Donald Trump’s main economic adviser December 12, 2016 Donald Trump has announced the appointment of former Goldman Sachs banker Gary Cohn as his most important economic adviser. Cohn has officially been named as director of the National Economic Council. He will be tasked with advising the President-elect on implementing his unorthodox economic campaign promises, which purportedly combine broad tax cuts with big infrastructure [...]
UK economy gets end of year boost as City jobs market flourishes December 12, 2016 The economy will end the year on a high note with an upswing in the City’s job market, improved growth forecasts and a brighter outlook for business output. A survey from professional services recruiter Morgan McKinley out today shows the City’s job market picking up pace again following the Brexit vote. There was a six [...]
The City has a loud voice in the Brexit debate December 12, 2016 How are we to discern the government's evolving Brexit strategy? Should we sit patiently and wait for strategic leaks? Should we scrutinise every handwritten memo photographed on its way into Downing St? Should we listen to the barrage of voices off, demanding action or concession in certain areas? Perhaps we should simply wait for the [...]
It’s Europe that will push for a conciliatory Brexit – because Britain holds all the aces December 12, 2016 A strong case can be made that the UK economy is in a unique position within the European Economic Area (EEA). Unique, because its membership is to the categorical financial benefit of all other members. Other countries gain either through exports to or via businesses located within Britain. Were the UK to be sent outside the [...]
With the Fed set to hike interest rates this week, will a stronger dollar pose a threat to the world economy? December 12, 2016 Craig Melling, investment manager at Progeny Asset Management, says Yes. The recent boost to the dollar since the US election has been welcomed by investors and stock markets alike. However, looking more closely at the impact of a surging dollar leads us to believe that this is a potential setback for the world economy. First, [...]
Business as usual gives a post-referendum boost to GDP forecasts but inflation is going to dent growth, says British Chambers of Commerce December 12, 2016 A “business as usual” approach from UK businesses has kept the economy steady since the EU referendum, according to the British Chambers of Commerce (BCC), as they revised up growth for 2016 and 2017. The business lobby group’s forecast of this year’s annual GDP growth rate has been upgraded to 2.1 per cent, as firms [...]
Bermudian government reacts with fury as Oxfam report names it world’s worst tax haven December 12, 2016 The Bermudian government has reacted with fury to an Oxfam report that places it at the top of a list of global tax havens. The Oxfam list ranks the countries by how far it judges them to “facilitate the most extreme forms of tax dodging”, including low corporation tax rates and non-cooperation with tax avoidance [...]
Job market shakes off Brexit blues as number of City roles up for grabs soars in November December 12, 2016 Londoners who plan to spend the festive period polishing off their CVs are in luck, as the City job market has surged back into action following the Brexit vote. Figures out today from professional services recruiter Morgan McKinley show a six per cent year-on-year increase in professional jobs available for November, the first year-on-year rise recorded [...]
Investors eye prospects for 2017 tightening as Federal Reserve rate rise is seen as near certainty December 11, 2016 The US Federal Reserve is set to raise interest rates for the first time since December 2015 as it continues attempts to move away from a period of historically low interest rates, with investors set to focus on the prospects for further tightening over the course of 2017. The Federal Open Market Committee (FOMC) will [...]