Truss warns Bank against ‘talking Britain into a recession’ August 6, 2022 Liz Truss ramped up her criticism of the Bank of England last night as she warned policymakers of “talking Britain into a recession”.
Analysis: Historic day in the Bank of England’s 25 years of independence August 4, 2022 Today was one for the history books. The biggest jump in interest rates since the Bank of England was made independent 25 years ago. A looming recession similar in length to the financial crisis. The first time the Bank has raised rates while forecasting a protracted slump in recent memory. It is a lot to [...]
More businesses to go bust after today’s rate rise as £2bn is added to borrowing costs overnight August 4, 2022 With the Bank of England Monetary Policy Committee increasing its base rate by another 0.5 per cent to 1.75 per cent, UK businesses face an immediate increase in interest payments of more than £2bn. Analysis of Bank of England data shows UK businesses are currently paying £14bn annually in interest payments on their £409bn in floating rate [...]
More jumbo Bank of England rate hikes on a knife edge if UK tips into long recession August 4, 2022 More super-sized rate hikes in the coming months from the Bank of England are on a knife edge if the economy slumps into a prolonged recession, City economists are betting. Consumers and businesses may struggle to absorb further 50 basis point rate rises, likely prompting the Bank to slowdown its rate hike cycle, experts said [...]
D-Day in the City: Bank of England set to make history today by raising interest rates by record 50bps August 4, 2022 Today the Bank of England could make history by raising interest rates by 50bps for the first time since the Monetary Policy Committee was set up back in 1997. In June, the vote was a split decision, and it is quite likely that this one could be too. Then, three members of the MPC voted [...]
UK inflation to surge above 15 per cent, more than seven times Bank of England target August 4, 2022 The Bank of England faces the grim prospect of overseeing the largest inflation surge in recent memory, with prices rising more than seven times faster than its target, a top think tank warned today. A sustained surge in energy costs triggered by Russia’s invasion of Ukraine and a sudden burst in demand after the Covid-19 [...]
Sunak and Truss’s room for tax cuts is ‘limited’, OECD warns August 3, 2022 Tory leadership hopefuls Liz Truss and Rishi Sunak’s room to cut taxes is limited, a top global economic institution said today. The Organisation for Economic Co-operation and Development (OECD) said an ageing society and the need to boost public sector investment to lift growth will keep government spending higher for decades, limiting “the scope for [...]
Sheepish consumers deal blow to UK services economy August 3, 2022 Consumers cutting spending in response to a historic inflation surge has weighed on growth in the UK’s services economy, reveals a closely watched survey published today. Brits are being squeezed by soaring living costs eroding their incomes, prompting them to cut unnecessary spending to protect their finances. As a result, growth in the services industry [...]
Threat of stagflation returns for first time since 1970s as UK enters early stage of drawn-out recession August 3, 2022 The UK is in the early stages of a drawn out recession that will tip millions of households into financial crisis, reveals fresh forecasts published today. An inflation surge driven by an unprecedented rise in energy bills will steer the economy into recession this quarter and keep it there until early months of next year, [...]
Poundland to open 25 UK stores this year as low-price giant exploits Brits’ hunger for cheaper products August 3, 2022 Poundland said this morning it plans to open and relocate 25 stores across the country in 2022. Ten new branches will be opened by the end of next month and 15 more before the year ends. The low-price retailer said it will primarily focus on high streets, retail parks, and neighbourhoods, with stores expected to [...]