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Bank of England

  • Foreign companies drive £19bn M&A surge as UK firms ‘attractively valued’

    June 3, 2025

    Takeovers of British firms reached the highest level in nearly three years as several multi-billion pound transactions made by foreign companies pushed up the value of mergers and acquisitions (M&A), official data has shown.  Inward M&A deals in the first three months of the year exceeded £19bn, nearly four times that seen in the last [...]

  • Bank of England warns pace of rate cuts ‘shrouded in uncertainty’

    June 3, 2025

    The pace of UK interest rate cuts is “shrouded in a lot more uncertainty” due to the “unpredictable” global economic situation, the governor of the Bank of England has said. Andrew Bailey told MPs during a Treasury Committee session that while rates are on a “glide path” downwards the Bank had “genuine concerns” about escalating [...]

  • Water industry requires fundamental reset, review finds

    June 3, 2025

    There is no single change radical enough to deliver the “fundamental reset” needed by the UK’s water industry, a much-anticipated review into the sector has found. The Cunliffe review has been led by former Bank of England deputy governor Sir John Cunliffe and is the largest since the sector was privatised in the late 1980s. [...]

  • Mortgage lending plummets in April as estate agents cross fingers for rate cut

    June 2, 2025

    Mortgage lending dropped in April after the market ‘reset’ following the end of the stamp duty holiday, according to new figures. Net borrowing of mortgage debt decreased sharply by £13.7bn to -£0.8bn in April, according to the Bank of England’s latest data. Net mortgage approvals for house purchases also fell for the third consecutive month, [...]

  • Andy Haldane: Reeves ‘not even close’ on growth after ‘rookie errors’

    June 2, 2025

    The Bank of England’s former Chief Economist has slammed Rachel Reeves’ first near-full year as Chancellor as “disappointing”, with the government “not even close to doing enough” on growth.  Less than two weeks out from the 11 June spending review, Andy Haldane told LBC’s Nick Ferrari that there have been “mistakes, rookie errors” that have [...]

  • Exclusive: Hotels struggle with double whammy of staff costs and pressure on room rates

    June 2, 2025

    Hotels struggled with falling profit in April after margins were squeezed by higher staff hosts and price pressure on rooms. UK hotel payroll costs increased from 31.6 per cent of revenue to 33.3 per cent in April year-on-year, and from 29.5 per cent to 31.4 per cent in London, according to RSM. A slight reduction [...]

  • Bank of England rate-setter calls for interest rate cut

    May 30, 2025

    A top Bank of England rate-setter has dismissed the latest spike in inflation and doubled down on calls for further interest rate cuts. Monetary Policy Committee (MPC) member Alan Taylor said the fresh inflation surge was driven by “one-off factors” related to President Donald Trump’s trade war. Whilst he said recent trade progress, with the [...]

  • ‘The most calls I’ve ever had’ – Why Japanese bonds have suffered surging yields

    May 27, 2025

    The Japanese bond market has suffered one of its worst weeks in years. An auction on Japan’s 20-year government bond saw its bid-to-cover ratio, a measure of demand, sink to levels last seen in 2012, while the auction’s tail, the gap between average and lowest-accepted prices, widened to the longest since 1987, in another sign [...]

  • Energy bills to fall as Ofgem cuts UK price cap by seven per cent

    May 23, 2025

    UK households are set to see a modest drop in their energy bills this summer, after regulator Ofgem revealed a seven per cent cut to its quarterly price cap – the first reduction in a year. The announcement will bring the average annual bill for a typical household in the UK down from £1,849 to [...]

  • UBS creates AI tool to monitor interest rate cuts  

    May 21, 2025

    UBS has created an AI model that takes a view on central bank’s hawks and doves when interest rates are set in a bid to cut through the noise of hard-to-read press conferences.  In a new policy paper spanning 38 pages, the Swiss bank revealed that its new tool is adept at “measuring the tone [...]

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