From Star Wars and the Fed rate rise and UK housing crisis to Chelsea’s crisis and Sports Direct’s working practices: Here’s what got us talking this week December 19, 2015 There were some outrageous predictions for 2016. Our homes got a bit smarter. And somewhere, floating over our heads, there was a British man in space. Here's what got us talking this week 1) We learned where you can buy a home And for those on less than £43,000, London is out of bounds. And things are [...]
FTSE jumps as investors cheer the Fed rate rise – London Report December 18, 2015 TOP SHARE index, the FTSE 100, climbed yesterday, tracking gains on other equity markets after investors took the first US interest rate rise in nearly a decade as a sign of policymakers’ confidence in the world’s biggest economy. The FTSE rose 41 points, or 1.2 per cent to 6,102 points, but is down by around seven [...]
Forward guidance was not the appropriate policy for the Fed – but Janet Yellen pulled it off December 17, 2015 Over the last few months, Fed chair Janet Yellen has led a train of Federal System governors in guiding financial market expectations towards an interest rate “lift-off” at the central bank’s December meeting. This week, more than six years into an economic recovery, it finally happened – but how successful has forward guidance been? [...]
Accounting watchdog scrutinising KPMG over HBOS failures December 17, 2015 The accounting industry regulator, the Financial Reporting Council (FRC), is reviewing whether to investigate big four accountant KPMG over its role in the collapse of HBOS. The bank was given a clean bill of health in an audit by KPMG shortly before needing to bailed out by the government and Lloyds TSB in 2008. The [...]
Treasury is considering giving more powers to Bank of England over the buy-to-let market December 17, 2015 The Treasury is looking for feedback on giving the Bank of England more powers to control the housing market. Treasury officials announced today that they have opened a new consultation on the powers the Bank should have over the UK buy-to-let mortgage market in particular. The Bank's financial policy committee (FPC) is responsible for identifying, monitoring [...]
Mortgage lending leaps as buy-to-let investors rush to buy December 17, 2015 November’s mortgage lending figures rose 23 per cent on last year, showing signs of a stabilising recovery in the housing market, figures published this morning showed. The Council of Mortgage Lenders' (CML) November report showed gross mortgage lending rose to £19.9bn last month, nine per cent lower than October, but up on last November's £16.1bn. Mohammad [...]
The City remain top dog for charitable activity December 17, 2015 Lord Mountevans, Lord Mayor of the City of London, on the City’s charitable highlights The year is drawing to a close and for the City, it has been a fantastic year for charitable outreach. In addition to promoting the City as a global centre for financial and professional services, I will be picking up the baton from my [...]
No. 14: Church Commissioners December 17, 2015 UNITED KINGDOM – £216m The Church Commissioners main role is supporting the Church of England by managing its investment portfolio – valued at £6.7bn last year – and it can trace its history back to Queen Anne's Bounty of 1704, set up to support poor clergymen. The Church Commissioners manage investments within ethical guidelines; this means they do [...]
Osborne must deliver on challenger pledge December 17, 2015 Two years ago, chancellor George Osborne said that the British banking system was verging on oligopoly – and needed a “reset”. “One of the prices we are paying for the financial crisis is that our banking sector is now dominated by a few big banks,” he said. “I want new faces on the high street. [...]
Fed rate hike reactions: How analysts responded to Janet Yellen’s interest rate rise December 16, 2015 The Federal Reserve’s move to raise its short-term interest rate from its historically low near-zero levels was widely expected by economists, but not everyone welcomed the first hike in close to a decade. Attacking the Fed’s move as “premature”, CEBR economists were critical of the central bank’s move to “fight non-existent inflation”: “The Fed is [...]