Government urged to implement new tax credit scheme for UK exporters for economy boost after Brexit vote August 10, 2016 The government is being urged to implement a tax credit scheme for UK exporters to boost British business and the economy after the Brexit vote. In an open letter, David Thomas, the executive chairman of the Council of British Chambers of Commerce in Europe (COBCOE), said: “This will cost the exchequer nothing on balance. “It can [...]
Why the post-Brexit economic doom and gloom may have been greatly overdone August 10, 2016 Something quite remarkable happened in the UK economy in June. UK broad money growth M4ex rose 5.8 per cent (year-on-year) – its fastest rate since the introduction of quantitative easing in 2009. Indeed, the growth rate is approaching the 6 per cent baseline for broad money growth that the Bank of England announced was its target [...]
Quantitative easing bounces back with successful round of BoE bond-buying August 10, 2016 The Bank of England's quantitative easing programme is back on track after its latest offer to buy government debt was massively oversubscribed. The Bank received offers from bond-holders to hand over more than £5.5bn worth of government coupons this afternoon – covering Threadneedle Street's daily £1.17bn budget by a factor of 4.7 to one. Officials will have [...]
Yuan currency to rule them all: China seeks to boost renminbi August 10, 2016 China has pledged to boost the role of the renminbi in the international economy as the country prepares to take new steps to develop the reputation and more widespread use of its currency. The People's Bank of China (PBOC) said today it was seeking to increase the use of the renminbi as a reserve currency for central [...]
Before the bell: What you need to know before the US market open August 10, 2016 The UK economy is slowing down after its vote to quit the European Union and markets continue to knock on record highs. Here's what you need to know before the US market opens at 2:30pm London time. US markets are pointing up ahead of the open signalling the possibility of further all-time highs. The S&P is [...]
Bank of England Agents’ survey finds six in 10 firms to cut investment plans due to EU vote August 10, 2016 Investment and hiring will flat-line over the rest of the year as UK businesses come to terms with the result of the EU referendum, a Bank of England survey has revealed. The Bank's agents' summary of business conditions, comprised from interviews with 270 firms representing 1.2m employees "indicated the result of the EU referendum would have a [...]
Unfazed Bank of England to carry on with billion-pound bond purchases despite setback August 10, 2016 The Bank of England is pushing ahead with its bond-buying programme as planned despite yesterday's stumble. Threadneedle Street was unable to find enough bond sellers on the open markets for its planned purchases yesterday, coming up £52m short of its target in a £1bn-plus operation. This morning the Bank confirmed it will continue with today's asset purchases, [...]
Summer reading: Four leading UK economists offer their book recommendations August 10, 2016 With its political and economic ructions, this summer has been anything but sleepy. If you’re looking for some holiday reading to prepare you for the year ahead, City A.M. has asked four of the UK’s leading economists to offer their recommendations. Tim Harford writes the Undercover Economist column for the FT and is presenter of More [...]
Institute for Fiscal Studies: UK better off inside EU Single Market August 10, 2016 Leaving the EU Single Market will cost the government an extra £8bn in lost tax receipts and result in financial services firms leaving London, the Institute for Fiscal Studies (IFS) has said. The revered number crunchers have argued today in a new paper that any Brexit deal which does not result in the UK remaining [...]
Challengers lambast competition watchdog’s report for focussing on technology and ignoring red tape issues August 10, 2016 Challenger banks have lambasted the competition watchdog for squandering a rare opportunity for change in a sector dominated by larger players. Many of the UK’s up-and-coming lenders were disappointed that yesterday’s final report from the Competition and Markets Authority’s (CMA) retail banking investigation focused more on using technology to disrupt the sector than on tearing down some of the [...]