Red tape and defaults hit bank lending February 26, 2012 STIFLING regulations and a rising number of defaults are forcing banks to cut down on lending, a new report from Ernst & Young warns this morning. Banks are being “forced on a diet”, according to the firm’s Marcel Van Loo, who said: “on the one hand they are being asked to hold more capital but [...]
Availability of new loans to factories shows modest signs of improvement February 26, 2012 THE AVAILABILITY of credit to British manufacturers has picked up modestly at the start of this year, according to industry group EEF. A balance of three per cent of factories reported that the availability of new lines of borrowing has improved in 2012, the group said today. Yet the EEF maintains that lending still needs [...]
Cost of living raises debt burden for households February 26, 2012 THE RISING cost of everyday living has tightened the “debt noose” around the necks of millions of Britons, a debt counselling charity will announce today. Nearly a quarter of households’ disposable income (23.8 per cent) goes towards interest payments on loans, on average, the Consumer Credit Counselling Service (CCCS) found at the end of last [...]
Figures to shed light on outlook for UK’s stores February 26, 2012 RETAILERS will be looking for signs of green shoots this week, with the release of two important gauges for the UK high street. The CBI’s distributive trades survey will shed light tomorrow on the current fortunes for British shops. And a separate survey on Wednesday, from GfK NOP, will reveal if consumer confidence is continuing [...]
ECONOMISTS’ VIEWS: ARE RETAIL SPENDING AND CONSUMER MORALE ON THE UP? February 26, 2012 DAVID MILLER | CHEVIOT ASSET MANAGEMENT “As inflation pressures dissipate, the lack of wage growth becomes less of a problem – people realise they have money to spend and get their confidence back. Yet it’s too early for a recovery to be apparent” MICHAEL HEWSON | CMC MARKETS “It’s going in the right direction. When [...]
BEST OF THE BROKERS February 26, 2012 HAYS Citigroup has downgraded the global recruitment company from “hold” to “sell” following first-half results last week, which saw earnings before tax of £63m in line with estimates. The broker is sceptical about Hays’ UK business, saying that it lacks strategic direction. Though it lifts its target price to 75p on earnings upgrades, the rating [...]
THE WEEK AHEAD February 26, 2012 Today A diverse group of FTSE 100 reporters will kick off a busy week in the corporate calendar this morning, with banking giant HSBC likely to be top of many investors’ watch list. Analysts are expecting the bank’s geographical diversity to offset any potential weakness in it investment banking division, with profits expected to hit [...]
THE WALL STREET WEEK AHEAD February 26, 2012 A RALLY on Wall Street will be put to the test this week, with the S&P 500 at its highest level since before the collapse of Lehman Brothers in 2008. The broad index is up 8.6 per cent for the year, closing at 1,365 on Friday. The S&P 500’s close was the highest since June [...]
The energy policy paradox: cheap tariffs for the savvy mean higher bills for most February 26, 2012 AT A time when energy bills are soaring, many families will be angry that British Gas reported profits last week of over £500m. It follows the news ten days ago that EDF’s profits rose to almost £1.6bn and announcements from the other “Big Six” energy firms are due in the coming weeks. But politicians and [...]
London needs to have world-class education for all February 26, 2012 IN 2004 the opening of Mossbourne Academy marked a turning point in the London Borough of Hackney. Built on the site of the former Hackney Downs school (described by the then government as the “worst school in Britain”), Mossbourne became a symbol of academic excellence in one of the most deprived parts of London. Under [...]
