Tag: eurozone

UK economy leads Europe

UK economy leads Europe

The UK economy emerged from recession yesterday and now leads the way in Europe according to research group Capital Economics. Gross Domestic Product (GDP) grew by one per cent in the third quarter from July to September, the biggest rise for five years, the latest official figures from the Office for National Statistics (ONS) show. [...]

October 26, 2012 | 0 Comments More
Funding for lending scheme to launch next month

Funding for lending scheme to launch next month

The Treasury and the Bank of England have revealed details of their multi-billion pound ‘funding for lending’ scheme which will begin in August and run for 18 months. The initiative is designed to make it easier and cheaper for businesses and individuals to secure loans and mortgages. It is hoped that it will help to [...]

July 13, 2012 | 0 Comments More
Turmoil in Eurozone increases mortgage costs

Turmoil in Eurozone increases mortgage costs

The Bank of England has warned that the ongoing Eurozone crisis is pushing up the cost of borrowing on wholesale financial markets. This is making it more expensive for lenders to fund mortgages and they are passing the costs on to customers by increasing their mortgage rates. “In the absence of falls in funding costs, [...]

May 18, 2012 | 0 Comments More
Chancellor wins on banking regulations

Chancellor wins on banking regulations

Chancellor of the Exchequer George Osborne has secured a key agreement allowing the UK government to regulate its banks more strictly than other EU member states. The agreement was secured in Brussels between European Union finance ministers. It allows the UK to ring-fence retail banking operations from riskier investment banking operations in order to protect [...]

May 16, 2012 | 0 Comments More
UK on verge of economic recovery

UK on verge of economic recovery

The UK and German economies may have reached a positive turning point, according to the Organisation for Economic Co-operation, which just a couple of weeks ago said that the UK was in recession. The OECD’s latest forecast is based on its composite leading indicators (CLIs), which are trusted to reliably predict the economic outlook for [...]

April 10, 2012 | 0 Comments More
Brits losing faith in inflation strategy

Brits losing faith in inflation strategy

The Bank of England’s latest inflation attitudes survey suggests that fewer people believe inflation is being controlled effectively with interest rates. In August, when the survey was last carried out, the proportion satisfied that the Bank was doing its job to set interest rates to control inflation, versus those dissatisfied, was 16 per cent, but [...]

December 15, 2011 | 0 Comments More
Economists forecast deeper UK recession

Economists forecast deeper UK recession

The UK economy is expected to contract by 1.3 per cent in 2012, according to respected economists at Standard Chartered bank. Growth of 0.6% had been predicted but Standard Chartered’s latest survey, of 350 companies, points to a sharp recession in the face of the ongoing eurozone crisis. The eurozone economy is expected to contract [...]

December 12, 2011 | 0 Comments More
UK isolated after eurozone summit

UK isolated after eurozone summit

Prime Minister David Cameron has used his veto to block a new EU treaty proposed by France and Germany to help restore economic stability in the eurozone. The proposed changes to the Lisbon Treaty would have imposed tougher financial regulations on all members of the European Union but Mr Cameron was unwilling to support the [...]

December 9, 2011 | 0 Comments More
Chancellor warns UK at risk if euro collapses

Chancellor warns UK at risk if euro collapses

As the leaders of the European Union’s 27 member states prepare to meet over a possible new EU treaty, the UK’s chancellor George Osborne warned a House of Lords committee that a collapse of the euro would do ‘enormous damage’ to the UK economy. Mr Osborne also stressed that the damage would be long-term. Speaking [...]

December 8, 2011 | 0 Comments More
IFS lost for words over economy

IFS lost for words over economy

The Independent Institute for Fiscal Studies (IFS) has warned that the income of UK households is likely to fall 7.4 per cent in three years and Britons will be no better off in 2016 than they were in 2002. The comment followed analysis of the Chancellor’s Autumn Statement yesterday. The IFS expects household income, after [...]

December 1, 2011 | 0 Comments More
Bank of England expects economy to stagnate

Bank of England expects economy to stagnate

In its latest quarterly inflation report the Bank of England warns that the UK’s economic outlook has worsened. It suggests that the economy could stagnate until the middle of next year, with growth predictions for 2011 and 2012 cut to around 1 per cent, compared with its August forecast of 1.7 per cent growth in [...]

November 16, 2011 | 0 Comments More
Eurozone crisis blamed for gloomy jobs market

Eurozone crisis blamed for gloomy jobs market

Jobseekers in the UK have a rocky time ahead of them, with businesses expected to put expansion and recruitment plans on hold for the foreseeable future, according to new research. The latest quarterly survey by the Chartered Institute of Personnel and Development warns that the UK jobs market is facing a “slow, painful contraction”. The [...]

November 14, 2011 | 0 Comments More
Eurozone crisis could push up mortgage cost

Eurozone crisis could push up mortgage cost

Brokers have noticed a rising trend on mortgage rates and are blaming it on the current crisis in the eurozone. Woolwich, Halifax and Santander, Nationwide, ING and the Chelsea Building Society have all increased tracker mortgage rates recently, reversing this summer’s trend for rates to become more competitive. The Chelsea Building Society has increased the [...]

November 11, 2011 | 0 Comments More
Interest rates held despite recession fears

Interest rates held despite recession fears

The Bank of England’s Monetary Policy Committee is due to meet today, when it is expected to keep interest rates at a record low of 0.5 per cent, despite inflation soaring. It will be the 32nd consecutive month that the interest rate has been held at this level. According to the Consumer Price Index, inflation [...]

November 10, 2011 | 0 Comments More
Manufacturing sector shows modest recovery

Manufacturing sector shows modest recovery

Official figures from the Office for National Statistics show a 0.2 per cent in UK manufacturing output in September, the first increase in four months. Compared with a year ago, factory output in September grew 2 per cent. However the figure excludes oil and gas, and mining, and when these sectors are taken into account, [...]

November 8, 2011 | 0 Comments More
Eurozone growth forecast uplifted

Eurozone growth forecast uplifted

The European Central Bank (ECB) is feeling more optimistic about growth in the eurozone, having raised its forecast for GDP growth to between 1.4% and 1.8% for 2010, and between 0.5% and 2.3% in 2011. Explaining the revision, ECB president, Jean-Claude Trichet, said: “Euro area real GDP grew strongly on a quarterly basis, increasing by [...]

September 3, 2010 | 0 Comments More
European consumer confidence rises for first time in nearly a year

European consumer confidence rises for first time in nearly a year

In April, for the first time in 11 months, European economic confidence has increased and Governments are boosting spending and other measures are being introduced in order to minimise the impact of the recession, whilst inflation has slowed. The confidence report, which is an index of executive and consumer sentiment across the 16 nations, shows [...]

April 29, 2009 | 0 Comments More
Eurozone economy facing deep recession unless fiscal measures implemented

Eurozone economy facing deep recession unless fiscal measures implemented

According to the European Commission, the eurozone is faced with a deep and prolonged recession and forecasted that the economy will contract by 1.9% this year and expand by just 0.4% next year. Official figures show that the 16-member nation has been in recession since September 2008. However, recovery will be seen in the second [...]

January 19, 2009 | 0 Comments More
Eurozone cuts interest rates by 0.5% to fight off prolonged recession

Eurozone cuts interest rates by 0.5% to fight off prolonged recession

The European Central Bank (ECB) has today cut interest rates in the eurozone by 0.5% to 2%, as expected by analysts. The reduction is the fourth time the ECB has cut rates in as many months as it endeavours to fight off a prolonged recession. Rates stood at 4.25% in September 2008. Official figures show [...]

January 15, 2009 | 0 Comments More
Unemployment rises in eurozone, inflation falls

Unemployment rises in eurozone, inflation falls

Unemployment in the eurozone has risen to 7.7%, according to figures published by the EU’s statistics office. The rise represents the highest level for two years and highlights the severity of the economic slowdown. The lowest unemployment level among the 15 European nations was reported in Spain, where the rate increased from 12.1% to 12.8%. [...]

November 28, 2008 | 0 Comments More