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UK economy

  • Employment Rights Act: Business braces for shorter strike notices, stronger unions

    Business

    The first batch of reforms, following the passage of the Employment Rights Act, came into effect on Wednesday, granting employees new trade union powers. As of Wednesday, measures under the legislation kicked in, including the repeal of most of the Trade Union Act 2016 and the introduction of protections against dismissal for taking industrial action. [...]

    The 2028 Los Angeles Olympics has been threatened with strike action by a union demanding a $5bn investment in local housing.
  • UK house prices see modest growth amid London slump

    Property

    UK house prices ticked up last year, but the London market continued to lag after property tax speculation and high mortgage rates constrained affordability. The average UK house price increased by 2.4 per cent annually in December 2025, slowing from 2.8 per cent growth in the year to November, according to the latest data from [...]

    The price paid for first homes has surged 7.1 per cent in a year
  • Starmer sticks to youth minimum wage pledge despite jobs fears

    Economics

    The government will stick to the Labour party’s manifesto commitment to equalise the minimum wage despite speculation it would row back on the pledge over unemployment fears, the Prime Minister has said. Speaking on Wednesday, Sir Keir Starmer said: “We’ve made commitments to young people in our manifesto, and we will keep to those commitments, [...]

    Keir Starmer engaging with community members during his visit to South Wales, highlighting local issues and leadership ini...
  • Carmakers to skirt a crash in £11bn motor finance redress

    February 18, 2026

    UK carmakers are set to curb a hefty hit in the City regulator’s forthcoming redress scheme for the motor finance scandal. Captive lenders, in-house lenders of manufacturers, are to be granted some reprieve by the Financial Conduct Authority (FCA) after relentless lobbying that the scheme could hamper investment in the UK. The FCA was forced [...]

  • BAE Systems rides defence wave to dividend boost and record results

    February 18, 2026

    BAE Systems shareholders are set for a pay bump as the London-listed group has benefited from the wave of increased global defence spending. Sales at Europe’s largest defence contractor rose 10 per cent to a record £30.7bn, while underlying profit grew 12 per cent to £3.3bn. The group saw its total order backlog reach a [...]

  • Inflation eases to three per cent boosting interest rate cut hopes

    February 18, 2026

    Inflation fell to its lowest level in nearly a year last month, new figures show, giving a further boost to hopes that the Bank of England will cut interest rates in March.  The headline rate dipped to 3.0 per cent in January, according to the Office for National Statistics (ONS), down from 3.4 per cent [...]

  • FTSE 100 Live: Inflation falls to near year-low; BAE leads stock rally

    February 18, 2026

    Good morning and welcome back to the City AM liveblog. Inflation has fallen to a near year-low this morning hitting its slowest pace since March and fuelling hopes that the Bank of England will take the chop to interest rates next month. New data from the Official for National Statistics showed rose the Consumer Price [...]

  • The Debate: Is working from home making us less productive?

    February 18, 2026

    Nigel Farage has called for a nationwide "attitudinal change" over working from home amid sluggish UK productivity. Could he have a point?

  • We have created the worst possible system of government

    February 18, 2026

    Keir Starmer does not appear to have many original thoughts (aides say he doesn’t read books while the PM himself told a baffled journalist that he doesn’t have dreams) so it’s no surprise that one of the few interesting things he’s ever said was in fact first uttered by one of his predecessors. Boris Johnson [...]

  • Bank of England took ‘eye off ball on inflation’, says Jenrick

    February 18, 2026

    Robert Jenrick is set to make his first major pitch to the City, in his first major outing as Reform’s spokesman on Treasury matters. The Newark MP is expected to commit to the independence of the Bank of England but pledge to “strip the Bank of distractions which have been loaded onto it”. “We will [...]

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