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Bank of England

  • UK economy facing ‘pronounced recession’

    March 24, 2026

    The war in the Middle East is “stalling growth” in the UK economy, fresh data has shown, as economists warned that a “pronounced recession” will come if energy prices stay high. A monthly survey of business activity across the country has suggested that there was a slowdown in output as well as a fall in [...]

  • How the Bank of England will read into outdated inflation data

    March 23, 2026

    Can data be redundant? The Office for National Statistics will this week give the impression that inflation is stable. Economists have predicted the consumer price index inflation print for the year to February to come in at three per cent, like last month, which would have otherwise made for satisfactory reading. But the figures precede [...]

  • Mortgage deals shrink by a fifth since outbreak of Iran war

    March 23, 2026

    The number of mortgage deals on offer for homeowners have shrunk by nearly a fifth since war broke out in Iran just over three weeks ago. Just shy of 1,500 fewer residential mortgages were available on Monday morning, compared with March 9, amounting to a contraction of 19.5 per cent. According to financial information platform [...]

  • Starmer vows to use ‘every lever’ to protect Brits from damage to UK economy 

    March 23, 2026

    Sir Keir Starmer has vowed to use “every lever” to prevent households from being hit by higher energy prices amid growing fears the Iran war is wreaking havoc on the UK economy.  On Monday morning, the Prime Minister suggested an emergency Cobra meeting between the most senior government ministers and the Bank of England governor [...]

  • Bank of England to hike interest rates twice, JP Morgan says

    March 20, 2026

    The Bank of England will hike interest rates at its next meeting in late April, JP Morgan has predicted, presenting a new threat to the security of the UK economy.  JP Morgan economist Allan Monks has said that the Bank’s Monetary Policy Committee (MPC) will opt to raise interest rates at least twice this year.  [...]

  • Bank of England’s Bailey: Interest rate cuts not on the horizon

    March 19, 2026

    The Bank of England’s Andrew Bailey has ruled out the prospect of any interest rate cuts in the near future, warning that the sustained conflict in the Middle East constitutes a major shock to energy supply that could leave long-term scars on the British economy. In an interview with LBC set to air on Thursday [...]

  • Bank of England rebuffs calls to speed up ‘shadow banking’ stress test

    March 19, 2026

    The Bank of England has rejected calls to speed up its inaugural stress test of the private credit industry, despite growing fears that a downturn in so-called shadow banking may pose a systemic threat to the global financial system. In a letter to the House of Lords’ Financial Services and Regulation Committee seen by City [...]

  • ‘Confidence exits UK economy’: FTSE 100 dips below 10,000 mark

    March 19, 2026

    The FTSE 100 dipped below the 10,000 mark as stocks plunged on Thursday on fears the war in the Middle East was set to bring regional energy production to a halt.  Traders sold off assets en masse over the course of the day, with the FTSE 100 falling by some 2.5 per cent amid turmoil [...]

  • Borrowing costs surge as market bets on future Bank of England rate hikes

    March 19, 2026

    The government’s short-term borrowing costs climbed to their highest level in more than a year on Wednesday, after the Bank of England announced a unanimous decision to hold its central interest rate. Traders aggressively pared back bets of future rate cuts on the news that the ongoing conflict in the Middle East led all nine [...]

  • Bank of England holds interest rates in unanimous decision

    March 19, 2026

    Interest rates have been held as policymakers at the Bank of England warned the war in Iran could send prices spiralling as soon as April.  Members of the Monetary Policy Committee (MPC) left interest rates unchanged at 3.75 per cent, with guidance to cutting rates in upcoming meetings now being dropped altogether.  Several policymakers, including [...]

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