US new jobless claims: 1.9m filings take total above 42m June 4, 2020 Another 1.9m Americans made new jobless claims last week as the economy battled coronavirus, taking the total number of claims since the pandemic began to above 42m. It was the first sub-2m number since Covid-19 began to ravage the US economy, however, with some analysts predicting the worst is over for growth. A week earlier, [...]
UK government announces £10bn trade credit insurance scheme June 4, 2020 The UK government has said it will guarantee up to £10bn of trade credit insurance transactions as it seeks to relieve some pressure on British manufacturers and construction firms amid the coronavirus pandemic. The new scheme will be temporary, backdated to 1 April and run until 31 December this year, the Department for Business, Energy [...]
FCA tells insurers to assess products in light of coronavirus pandemic June 3, 2020 The Financial Conduct Authority (FCA) today provided insurers with guidance on what they need to do to assess the value of their products in the light of the coronavirus pandemic. The FCA said firms should review products where benefits cannot be provided – such as boiler services due to lockdown measures – or where there [...]
Decline eases in US services sector but economy stays in rut June 3, 2020 The decline in the US services sector eased somewhat in May, survey data has shown, but the dominant part of the economy remained stuck in a downturn. The closely watched purchasing managers’ index (PMI) gauge from the Institute for Supply Management (ISM) came in at 45.4 in May. That compared to the sharp plunge to [...]
Covid-19: The golden age of investing comes with a silver lining June 3, 2020 In financial markets, there are no crystal balls, only things we know and things we do not – known knowns, and known unknowns. Both can help us to guide our decisions as investors. When faced with uncertainties or black swan events, investors have typically responded with a rush to precious metals. Gold has historically maintained [...]
News Group hit with 45 new phone hacking claims June 2, 2020 Rupert Murdoch’s News Group Newspapers has been hit with 45 new phone hacking legal claims in the last week, court filings reveal. The Sun-owner has had 85 claims issued against it for phone hacking since May 2018, data from litigation analytics company Solomonic shows. The latest batch of claimants includes Hollywood star Johnny Depp, TV [...]
Funding the Covid-19 recovery: Seize the opportunity to build a better tax system June 2, 2020 The suspension of huge parts of the economy coupled with an unprecedented package of government support measures mean that tax revenues are falling while public spending is surging. A leaked Treasury assessment estimated a £337bn budget deficit this year, nearly seven times the forecast in March’s budget. Analysts expect the debt-to-GDP ratio to be near [...]
Why global cities can still thrive despite Covid-19’s impact June 1, 2020 The most connected part of global cities could be of even greater value despite an increase in remote working. The Covid-19 pandemic has accelerated our digital future with remote working set to become the norm for many people. But although fewer people will be travelling into cities each day to work in the knowledge economy, [...]
FCA gears up for business interruption insurance court battle June 1, 2020 City watchdog the Financial Conduct Authority (FCA) today said it had selected samples of insurance wording for a July case on whether insurers should pay out on business interruption policies for covid-19. The FCA said it has selected 17 examples from business interruption insurance policies used by 16 insurers who have entered into a framework [...]
Sunak: Employers to contribute to furlough scheme from August May 29, 2020 Chancellor Rishi Sunak this afternoon announced that firms will have to begin contributing towards the government’s furlough scheme from August. Speaking at today’s coronavirus press conference, Sunak laid out a raft of changes to the Treasury’s job retention programme, the cornerstone of the government’s economic response to the crisis. In August, firms will only be [...]