Harrods Bank sold to digital challenger Tandem | City A.M. August 7, 2017 The banking arm of luxury department store Harrods has been sold to digital challenger bank Tandem in what’s understood to be a multi-million pound deal, City A.M. can exclusively reveal. The Harrods Bank brand will disappear as Tandem takes over the loss-making bank’s business, including loans, savings and current accounts. The deal is a left [...]
These six charts caught our attention in July August 2, 2017 Safe as houses In the UK, house price growth began to slow noticeably last year when stamp duty on buy-to-let and second homes increased. The slowdown continued after the announcement that the UK would be leaving the EU. Perhaps surprisingly, London has been hit harder than the rest of the UK. UK growth is sluggish [...]
Shadow chancellor John McDonnell confirms Bank of England would stay independent under Labour government as he calls for higher pay from governor Mark Carney August 1, 2017 Shadow chancellor John McDonnell has reiterated his stance that a Labour government would not strip the Bank of England of its independence as he called for governor Mark Carney to increase his pay offer to striking workers. Speaking to City A.M. at a picket line by striking workers outside the Bank, McDonnell said: “The Bank [...]
The global financial crisis 10 years on: six charts that tell the story July 31, 2017 It is hard to believe but it is 10 years since the start of the global financial crisis. Triggered by a collapse in the US housing market it caused the deepest recession in living memory and the near-collapse of the financial system. Banks failed, government institutions were bailed out, stockmarkets crashed and countries had to [...]
Fears rise on £200bn debt pile as Moody’s warns Britons may be borrowing too much July 31, 2017 Rising levels of household borrowing at a time of macroeconomic weakness will cause Britons to struggle with loan repayments, according to influential ratings agency Moody’s, as consumer debt rose back over £200bn. Moody’s has changed its collateral outlook on two of the UK’s structured finance sectors to reflect the declining ability of Britons to make [...]
Libor will end in 2021 says Britain’s top financial regulator July 27, 2017 The infamous Libor benchmark lending rate is set to be dropped in 2021, the UK’s top financial regulator said today. Financial Conduct Authority (FCA) boss Andrew Bailey said the London interbank offered rate (Libor) will no longer receive the backing of regulators as the industry tries to move to a more reliable marker. Libor, which [...]
FTSE 100 private equity firm 3i announces £68m gains from weakening sterling as total return climbs July 26, 2017 The drop in sterling’s value may have caused a headache for some UK businesses, but London-listed private equity house 3i has managed to turn it to its advantage. Read more: Bank of England deputy governor says sterling depreciation could boost British business investment In its first-quarter performance update this morning, the European investor revealed its [...]
‘Toxic’ assets are making a turnaround July 25, 2017 They were branded “toxic sludge” for their role in bringing about the financial crisis, but asset-backed securities are no longer considered as dangerous as they once were. Asset-backed securities (ABS) are essentially loans which are bundled up together. The underlying assets are usually illiquid, but by packaging them up and creating a security, they [...]
Bank of England gives fintech startups direct access to the UK’s RTGS payments system in latest innovation move July 19, 2017 The Bank of England has opened up the UK’s payments systems – the “plumbing” which facilitates same day money transfers between banks – to organisations that are not banks, giving fintech startups another step up in their challenge to traditional banks. Tech companies will no longer have to go through selected banks and other providers [...]
New £10 note featuring Jane Austen unveiled by Bank of England governor Mark Carney at Winchester Cathedral July 18, 2017 Bank of England governor Mark Carney has today unveiled the full design of the new £10 note featuring Jane Austen 200 years after the death of the famous author. Members of the public will be able to get their hands on the notes for the first time on 14 September 2017, a year after the [...]