Coronavirus: The future fund needs a 2.0 May 20, 2020 The month between the announcement of the Future Fund – part of the government’s billion-pound package of financial support for innovative firms hit by the fallout of the coronavirus pandemic – and its opening for applications today has seen concerted lobbying from those concerned that it will fail to work as intended. I share those [...]
UK inflation rate plunges to lowest level since 2016 amid coronavirus May 20, 2020 The UK inflation rate tumbled from 1.5 per cent in March to 0.8 per cent in April as coronavirus pushed Britain into lockdown, according to data out today. Collapsing oil prices contributed to the plunge in the consumer prices index (CPI) that determines the inflation rate, the Office for National Statistics (ONS) said. It fell [...]
Coronavirus: Government launches £500m Future Fund for startups May 20, 2020 Startups that have been impacted by the coronavirus outbreak will now be able to apply for emergency support under the government’s £500m Future Fund scheme. The fund, which opened for applications today, will offer UK-based startups convertible loans of between £125,000 and £5m to support continued growth and innovation across a range of sectors. The [...]
Rishi Sunak warns swift economic recovery ‘not obvious’ May 19, 2020 Chancellor Rishi Sunak has poured cold water on hopes that the UK economy will make a rapid recovery from the sharp economic downturn caused by Covid-19. Speaking in front of the Lords economic committee today, Sunak warned it was “not obvious that there will be an immediate bounce back”. “It takes time to get back [...]
UK jobless claims soar by a record 856,000 to 2.1m in April May 19, 2020 UK jobless claims soared 69.1 per cent – or by 856,000 – to 2.1m in April, unemployment data showed today to illustrate the staggering impact of coronavirus on the economy. And the UK unemployment number increased by 50,000 to 1.35m as lockdown started in March, according to the Office for National Statistics (ONS). The ONS [...]
More than £6bn paid out as part of self-employed relief package May 18, 2020 More than £6bn has been paid out to more than 2m of the UK’s self-employed workers under the government’s coronavirus support scheme. Chancellor Rishi Sunak announced the updated figure today and confirmed there would be no change to the scheme’s £50,000 cut-off. The scheme sees the government hand over a taxable grant worth 80 per [...]
UK economy receives fresh warnings before Rishi Sunak addresses MPs May 18, 2020 Chancellor Rishi Sunak is preparing to address MPs today following new dire predictions of the impact of coronavirus on the UK economy. Sunak is set to face questions over how the UK will pay for huge public borrowing currently propping up the economy. The Treasury boss extended his job retention scheme to October last week, [...]
Job market set for ‘significant’ downturn despite furlough scheme May 18, 2020 The UK job market is set for a “significant turn for the worse” over the next three months, a new report from the Chartered Institute of Professional Development (CIPD) has found. According to the research, more than half of private sector firms are preparing to freeze pay for the next 12 months, while hiring intentions [...]
Treasury mulling plans for ‘bad bank’ to manage stakes in bailed-out firms May 17, 2020 The Treasury is considering plans to develop a so-called “bad bank” in order to hold stake in bailed out companies, the Sunday Times reported, amid fears that key firms could fail due to the coronavirus pandemic. The initiative reflects similar steps taken by the Labour party during the 2008 financial crisis, when it set up [...]
When will the UK economy recover from coronavirus? May 15, 2020 The UK economy is set for its worst contraction since at least the Great Depression this year as the coronavirus lockdown brings activity to a halt. There’s little doubt about that. There is doubt about what comes next, however. Economists have made huge numbers of predictions, using an array of letters to describe the recovery. [...]