Dear Juncker, more integration is not the answer to EU woes. Focusing on cooperation between states might do the trick September 19, 2016 The EU’s head honcho, Jean-Claude Juncker, was in the news last week for the televisual highlight of all good Europeans: his annual State of the Union address. It was a sombre affair, unlikely to cheer up anyone’s Wednesday morning. It sounded like a eulogy, and Juncker should at least be commended for his honesty. Addressing members [...]
Central banks have been “overburdened for far too long” by markets, says Bank for International Settlements September 18, 2016 Recent financial market events have demonstrated how dependent they have become on central banks, the Bank for International Settlements (BIS) has said. And central banks have been “overburdened for far too long”, said Claudio Borio, head of BIS’ monetary and economic department. “Developments in the period under review have highlighted once more just how dependent on central [...]
Head of Germany’s central bank warns EU against further integration after Brexit September 18, 2016 The head of Germany’s central bank has warned the EU against pushing for further integration after the UK’s Brexit vote. Jens Weidmann, the president of Deutsche Bundesbank, said this approach “no longer resonates with the public”. In a meeting with media organisations including the Guardian, Weidmann said: “For many of its citizens, Europe has indeed [...]
RIP Grexit? Citi says it no longer believes Greece will leave the EU September 16, 2016 Remember Grexit, the EU-changing event that didn't happen before Brexit did (almost) happen? Citi, the lender whose chief economist coined the term, has said it is now so unlikely it is removing it from its baseline scenario. RIP Grexit. In a note today analysts said although bailout negotiations between Greece and its so-called troika of creditors – the [...]
US inflation just about beat economists’ expectations last month September 16, 2016 US consumer price growth came in slightly better-than-expected last month, according to official data released today. The Labour Department said today that the consumer price index (CPI) rose 0.2 per cent last month after it remained unchanged in July. In the 12 months to August, the CPI swelled 1.1 per cent after increasing 0.8 per cent in [...]
I want to build a national consensus on Britain’s bright post-Brexit future September 15, 2016 Napoleon is said to have once described Britain as a nation of shopkeepers. It was not meant as a compliment, but it highlighted one of our country’s biggest and most enduring strengths. We are one of the great trading nations of the world and the decision taken by the people to leave the EU will [...]
Autumn Statement 2016: Businesses tell Philip Hammond to cut national insurance September 15, 2016 Business leaders want Philip Hammond to cut the cost of employment in his first Autumn Statement as chancellor, rather than indulge in headline-grabbing measures like slashing corporation tax. Accountants EY found 64 per cent of top decision makers at both UK firms and multinationals with a big presence here said reducing the cost of national insurance [...]
The next Singapore: Britain must seize this opportunity to slash tax and regulation September 15, 2016 I have always been torn over Britain’s relationship with Europe. While I share the loathing of the most passionate Brexiteer for the arrogance of the Brussels elite and their job-destroying regulations, I also fear the largely unintended consequences of what EU withdrawal will mean both for Britain in terms of prosperity and influence, and for [...]
As the Bank of England holds interest rates, is ultra-loose monetary policy a danger to financial stability? September 15, 2016 Baroness Altmann, a former pensions minister, says Yes. The Bank’s monetary policy is not only a potentially serious danger to financial stability, it also has damaging side effects that call into question the extent of easing it actually represents. The fallout from years of pushing both short and long rates lower is that capital markets and [...]
Critics round on Carney as ultra-low interest rates to last 13 years September 15, 2016 Mark Carney faced growing disquiet from the financial community today, as critics of his post-referendum stimulus package sharpened their attacks on the Bank of England governor. As the Bank's monetary policy committee (MPC) voted unanimously to hold interest rates at their record low of 0.25 per cent, a string of robust post-referendum data has led [...]