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Bank of England

  • UK inflation to fall to lowest level since March 2022 but Bank of England still tipped to hike interest rates

    July 17, 2023

    UK inflation is on course to drop to its lowest level in over a year, but lingering underlying price pressures will heap expectation on the Bank of England to keep on hiking interest rates, new figures out this week are tipped to show. The rate of price growth in Britain is expected to have dropped [...]

  • New data: Cost-cutting and restructuring helps keep restaurant industry alive

    July 17, 2023

    Bank of England interest rate rises could threaten the UK restaurant sector’s return to profitability, according to national accountancy group, UHY Hacker Young. The group say the percentage of UK restaurant companies turning a profit has more than doubled from 35 per cent to 78 per cent in the past year, but recent rate increases could [...]

  • Jeremy Hunt on track to ‘obliterate’ fiscal rules as OBR warns of much higher debt bill

    July 13, 2023

    Jeremy Hunt is on track to blow out his financial goals due to the Bank of England hiking interest rates aggressively to bring down sticky inflation, according to new forecasts out today from the UK’s spending watchdog. Payments to investors who have purchased UK government debt are poised to rise more than £90bn above what [...]

  • King’s coronation steers UK economy back into red as GDP shrinks 0.1 per cent in May

    July 13, 2023

    Lost work owing to the additional bank holiday to celebrate the King’s coronation has sent UK economic growth into reverse, official figures out today reveal. UK gross domestic product (GDP) contracted 0.1 per cent in May, a much smaller drop than the City expected and down from a 0.2 per cent expansion in April, according [...]

  • US inflation slumps to lowest level in more than two years and is now well below UK

    July 12, 2023

    Inflation in the US has slumped to its lowest level in more than two years and is now far below the UK’s rate, official figures out today reveal. American inflation fell to three per cent in June on an annual basis, down from four per cent in the previous month, according to the US Labour [...]

  • Nearly one million UK homeowners to have £500 a month eaten up by higher mortgage payments

    July 12, 2023

    UK homeowners are poised to hand over a bigger chunk of their income to their lenders every month after they roll on to a new mortgage with a much higher interest rate, the Bank of England has warned today. By the end of 2026, around 1m families will be paying an at least additional £500 [...]

  • Bank of England says UK’s big banks passed stress test and are ‘resilient’ to rising rates

    July 12, 2023

    The UK’s largest lenders passed the Bank of England’s stress tests with flying colours, even as concerns grow around the health of the mortgage market. In its latest stress test, the Bank of England concluded that banks were “resilient”, enabling them to withstand persistently higher inflation and a deep global recession. “The UK banking system [...]

  • UK families set for another year of cost of living crisis and £65bn hit to finances

    July 12, 2023

    UK families are poised to be gripped by the cost of living crisis for nearly another whole year due to the Bank of England keeping interest rates higher for longer in a bid to vanquish inflation, a new report out today claims. Household finances will be corroded by rising living costs and elevated rates until [...]

  • FTSE 100 close: London index nips higher as Bank of England rate hike bets step up

    July 11, 2023

    London’s FTSE 100 crept higher today as another set of hotter than feared wage numbers pushed pound sterling to its highest level in 15 months. The capital’s premier index nipped 0.12 per cent higher to 7,282.51 points, while the domestically-focused mid-cap FTSE 250 index, which is more aligned with the health of the UK economy, [...]

  • Why record wage growth could seal another jumbo interest rate rise from Bank of England

    July 11, 2023

    It seems strange to cheer what economists call a “loosening in the labour market”.  What that basically means is: employment growth is slowing, joblessness is on the up, vacancies falling and wage growth receding. Most of those requirements were met in today’s release from the Office for National Statistics (ONS). In a shock to the [...]

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