An ONS blunder means the trade deficit is £6bn bigger than we realised December 7, 2016 A blunder by the Office for National Statistics (ONS) means the UK's trade deficit was £6bn bigger than we realised, it admitted last night. The so-called processing error by the ONS means the trade deficit was £17bn in the third quarter of the year, up from the £11bn it had originally mooted. Read more: The [...]
UK house price growth slows as affordability concerns start to mount December 7, 2016 UK house price growth slowed in November to 0.2 per cent, as consumers start to feel the squeeze of prices rising faster than wages. Prices had increased by 1.5 per cent in October, which helped drive the annual rate of growth to six per cent, up from 5.2 per cent in the year recorded last [...]
City A.M. Unregulated podcast: Caution – do not listen to this podcast if you are of a nervous disposition December 7, 2016 Economist Jim Rickards correctly predicted the last financial crisis, the outcome of the Brexit vote and Donald Trump's election. Now he is predicting an economic downturn of massive proportions. Here, Rickards talks his new book, Road to Ruin, explains when we can expect the next global economic shock – and details why the global elite [...]
Monte dei Paschi shares jump 10 per cent on bailout hopes December 7, 2016 Shares in Italian bank Monte dei Paschi di Siena soared more than 10 per cent today on rumours that the Italian government is preparing a rescue bid. According to reports, Italy will take a €2bn (£1.7bn) controlling stake in the country's third biggest bank. The surge in the bank's shares is a turnaround from the stock's [...]
One more step along the road to Brexit December 7, 2016 The Great Brexit dance continues. Yesterday, the Labour party rediscovered its opposition role and bounced the government into accepting demands that it set out its Brexit plans to parliament. Fearing that dozens of Remain-backing Tory MPs would support the Labour motion, No 10 agreed to go along with it. The shadow Brexit secretary Keir Starmer [...]
Rampant corruption – not just the euro – has doomed Italy to decades of stagnation December 7, 2016 So farewell then, Matteo Renzi! The resignation of the Italian Prime Minister after his heavy defeat in Sunday’s referendum on constitutional reform has created turmoil. Fears have been resurrected about the stability of the Italian banking system, and even the possibility of Italy leaving the euro has been raised. But the problems of the Italian economy, [...]
Was Mark Carney right to absolve monetary policy of the blame for popular disillusionment with capitalism? December 7, 2016 Vicky Pryce, board member of CEBR, a former government economic adviser and co-author of It’s the Economy Stupid, Economics for Voters, says Yes. The impact of globalisation has on the whole been positive. It has lifted hundreds of millions out of poverty, created vast new middle classes and extended all our horizons. The consumer has [...]
Wanted: A bold government housing strategy that delivers for the young rather than the old December 6, 2016 If Brexit wasn’t dominating British politics, then one other issue would be: the lack of housing. If you know someone under 30, living in London and able to afford their first home, then your friend belongs to the country’s richest percentile. For most people, even for those on what used to be a decent median income, owning [...]
Widening US trade deficit gives Donald Trump a challenge to fulfil campaign reduction promise December 6, 2016 Rising imports pushed up the US trade deficit by over $6bn in October and factory orders increased faster than expected, as domestic demand continues to stay strong in the world’s biggest economy before the arrival of Donald Trump in the White House. Trump has promised to reduce the trade deficit when he takes office, but [...]
UK commercial property remains at risk of further losses says Bank of England December 6, 2016 The UK’s commercial real estate sector remains at risk of further losses according to the Bank of England (BoE), as the vote to leave the European Union continues to leave its mark. The BoE’s Financial Policy Committee (FPC) said “there was the risk of further adjustment in the sector” which could create knock-on risks for [...]