Tag: package

Moody’s cuts Irish debt rating as second bailout looms

Moody’s cuts Irish debt rating as second bailout looms

EU officials in meeting to discuss euro zone contagion fears

EU officials in meeting to discuss euro zone contagion fears

European stocks were lower today after it emerged that top EU officials are meeting in Brussels to discuss the ongoing debt crisis in the euro zone. Germany’s DAX 30 lost 0.68% to 7,352.73, while France’s CAC 40 was down 0.89% to 3,878.60. London’s FTSE was 0.2% lower at 5,977.31. The meeting has been arranged as [...]

EU leaders agree to give Greece another €120bn

EU leaders agree to give Greece another €120bn

A second rescue package for Greece has been agreed, which is understood to be in the region of €120 billion. The money will come from its fellow euro zone nations, as well as the International Monetary Fund (IMF). The news of the deal sent stockmarkets higher this morning after the crisis-torn economy has been thrown [...]

Bank of Ireland looking to raise €2.2bn

Bank of Ireland looking to raise €2.2bn

Bank of Ireland has today revealed it is looking to raise €2.2 billion (£1.86 billion) of capital, in a move designed to meet the conditions of the country’s bailout package. The capital raising would bring the crisis-torn lender close to nationalisation. The bank is currently 36% owned by the Government and the news emerged shortly [...]

Ireland’s rescue deal to be signed off

Ireland’s rescue deal to be signed off

The bailout package for Ireland has finally been signed off after days of negotiation between the Irish authorities, the EU, the European Central Bank and the International Monetary Fund (IMF). Full details of the rescue package, which is worth €85 billion (£72 billion), will be confirmed by the Irish Government once it has been approved [...]

Greek public sector workers protest against further austerity measures

Greek public sector workers protest against further austerity measures

Strikes were launched across Greece again today as workers protest against new austerity measures, which include deeper cuts in pensions and public servants’ pay, as well as a fresh hike in consumer taxes. The new austerity measures are being submitted in a draft bill to the Greek Parliament today, and will be voted on by [...]

Euro up after Greece aid package

Euro up after Greece aid package

The euro has recovered from a 10-month low today after the two-day EU summit, which commenced in Brussels yesterday, saw a deal reached to help Greece through its debt crisis. According to Brussels, the package will total €22 billion (£20 billion) and will include help from the International Monetary Fund (IMF). So far the euro [...]

Australia’s stimulus package now approved after earlier rejection

Australia’s stimulus package now approved after earlier rejection

Australia’s AUS$42 billion (£19 billion) stimulus package designed to help the country weather the economic downturn has now been approved after it was blocked yesterday by the Australian Senate who called it “financially irresponsible”. Kevin Rudd, Australia’s Prime Minister, vowed to fight for the package saying it is “crucial for the economy“. In response to [...]

Australia’s AUS$42bn stimulus package rejected

Australia’s AUS$42bn stimulus package rejected

Last week, the Australian Government announced a AUS$42 billion (£19 billion) stimulus package designed to help the country weather the economic downturn. However, the plan has been rejected by the Australian Senate calling it “financially irresponsible”. It was intended that AUS28.8 billion was to be set aside for schools, housing and roads, while the remaining [...]

SMMT: Car sales slump further in January

SMMT: Car sales slump further in January

The Society of Motor Manufacturers and Traders (SMMT) have revealed that the number of new cars registered in the UK in January fell 30.9% year-on-year. The continued fall highlights the fact that the economic downturn continues to have a major impact on new car sales. According to the organisation, a total of 112,087 new cars [...]

Obama’s $825bn stimulus package approved

Obama’s $825bn stimulus package approved

President Barack Obama’s $819 billion (£572 billion) economic stimulus package has been approved by the US House of Representatives. The President hopes to sign the package into law in February and said the package includes $275 billion in tax cuts, including a credit worth $500 dollars for each worker and $1,000 for couples. However, the [...]

Chancellor plans Britain’s answer to Obama’s stimulus package

Chancellor plans Britain’s answer to Obama’s stimulus package

Chancellor Alistair Darling has admitted that a second package of tax and spending measures may be required to prevent the UK from entering a deep and profound recession. Measures include help for the ailing car industry, which is suffering as consumers continue to cut back on non-essential items. Proposals under consideration include an expansion of [...]

Government announces second bailout package for banks

Government announces second bailout package for banks

The Government has announced a second rescue package worth £200 billion for the banking system which will insure British banks against losses from bad loans. The plan is designed to prevent the financial crisis from getting worse and to improve confidence and the banks’ ability to lend. Under the terms of an insurance scheme, banks [...]

Lloyds TSB/HBOS merger details unveiled

Lloyds TSB/HBOS merger details unveiled

The Lloyds TSB/HBOS merger looks set to proceed after both banks have announced plans to raise up to £17 billion through the Government’s rescue scheme. Today, Lloyds said it plans to raise £4.5 billion from investors with the support of the Government and will offer the Government preference shares worth £1 billion. Meanwhile, HBOS said [...]

US banks see losses mount up

US banks see losses mount up

US banking giants Citigroup, JP Morgan, Merrill Lynch and Wells Fargo have this week all announced disappointing financial results. Citigroup has reported a net loss of $2.8 billion, making it the bank’s fourth consecutive loss after it was forced to absorb $4.4 billion in write-downs. JP Morgan has reported a massive 84% decline in third [...]

US reveals banking bailout package

US reveals banking bailout package

Stock markets throughout the world have been awaiting details of America’s rescue package after the UK and Europe have already announced plans to tackle the financial crisis. The US has announced a $250 billion (£143 billion) scheme which will see the Government purchase stakes in the country’s largest banks in an attempt to restore confidence [...]

Mortgage providers uninspired by £500bn rescue plan

Mortgage providers uninspired by £500bn rescue plan

The announcement earlier this week of the £500 billion Government package of support for UK banks, plus a 0.5% cut in the Bank of England’s base rate, has met with disappointing results in the mortgage market. According to financial website, Moneyfacts.co.uk, home loan providers have continued to withdraw products with high loan-to-value (LTV) ratios, leaving [...]

Markets fail to respond to shock interest rate announcement

Markets fail to respond to shock interest rate announcement

The Bank of England announced its decision on interest rates a day early today following another eventful week on the financial markets. The Bank of England cut rates by half a percentage point from 5% to 4.5%, the last time this occurred was in September 2001. Rates have remained at 5% since April in a [...]

Global markets welcome AIG bail out

Global markets welcome AIG bail out

Insurance giant, AIG, has been bailed out by the US Federal Reserve after an $85 billion (£48 billion) rescue package The news has been welcomed by global stock markets after two days of panic selling following the collapse of US investment banking giant, Lehman Brothers. There were fears that AIG was heading the same way [...]