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UK economy

  • Majority of landlords to hike rent due to Reeves’ tax raid

    February 6, 2026

    The majority of landlords increasing rents blamed Rachel Reeves’ new tax on property income from April next year, a survey has shown.  According to the National Residential Landlords Association (NRLA), two thirds of landlords (65 per cent) raising prices over the next year cited the government’s plans to charge a two percentage point tax rate [...]

  • Banks ombudsman complaints slump after Treasury overhaul

    February 5, 2026

    Complaints to the banks ombudsman fell to the lowest level in two years in the last quarter of 2025 as changes from regulators and Treasury ease the caseload. Between October and December the Financial Ombudsman Service (FOS) received 47,300 complaints – a major drop from the 68,400 lodged the year prior. It also maintains a [...]

  • Bank of England raises alarm on unemployment as interest rates unchanged 

    February 5, 2026

    The Bank of England has held interest rates but policymakers warned that the spiralling unemployment rate and weak growth was weighing down on price growth.  In its decision on Thursday, the Bank’s Monetary Policy Committee voted 5-4 to leave interest rates at 3.75 per cent.  But economists warned that unemployment could jump higher over the [...]

  • UK construction ‘exits tailspin’ but job losses persist as housebuilding slumps

    February 5, 2026

    The UK’s struggling construction sector showed signs it was turning a corner at the beginning of the year even as job losses and shrinking order books persisted. The latest construction Purchasing Manager’s Index (PMI) from S&P Global – which serves as a headline index tracking industry activity – edged up to 46.4, up from 40.1 [...]

  • Bank of England Live: Interest rates held in narrow 5-4 call

    February 5, 2026

    Good morning and welcome to the City AM liveblog. The Bank of England’s monetary committee has decided to hold rates in its first meet of the year. Markets – and City AM‘s own Shadow MPC – had placed their bets on a hold as the Bank continues its gradual chop to the base rate. In [...]

  • Ageing workforce puts London’s specialty insurance sector at risk

    February 5, 2026

    London’s specialty (re)insurance market employs around 61,000 people, but despite this, the sector is facing a ‘critical’ talent shortage. According to data from the trade body, the London Market Group (LMG), that headcount is up 3 per cent since 2022, but the sector is expected to require around 82,200 by the end of 2034. The [...]

  • Anthropic’s new tool raises bar for legal AI startups

    February 5, 2026

    A dramatic shift is underway in the legal tech landscape as AI advancements disrupt traditional industry leaders. This comes as the traditional research and analytics software businesses saw billions wiped out from their market share this week after Anthropic announced its new AI. San Francisco-based AI giant Anthropic, the firm behind chatbot Claude, revealed on [...]

  • Mark Kleinman: South East Water’s excuses have run dry

    February 5, 2026

    Mark Kleinman is Sky News’ City Editor and the man who gets the Square Mile talking in his weekly City AM column South East Water’s excuses have run dry How the water industry could do with the raising of a Mervyn King eyebrow. While governor of the Bank of England in 2012, Lord King defenestrated Bob Diamond as [...]

  • Watchdog warns on ‘fire sale dynamics’ risk in repo market

    February 4, 2026

    The global financial watchdog has urged regulators to cast a closer eye over the ways in which leveraged trades in the short-term repo market could amplify financial stability risks worldwide.  Regulators at the Financial Stability Board (FSB) are particularly concerned that leveraged investors might be forced to dump their assets in the event of a [...]

  • Quality over quantity: UK M&A volume slips but deal value climbs

    February 4, 2026

    UK merger and acquisition deal value increased last year despite a fall in volumes as investors turned their focus to acquiring fewer, higher-quality assets. The total number of UK deals fell 12 per cent year on year to 2,991, down from 3,411 in 2024, according to the latest industry trends data from PwC. But overall [...]

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