Interest rate cut hopes fade after Bank of England decision Economics City investors have lowered expectations of multiple interest rate cuts later in the year after the Bank of England decided to reduce rates to 4.25 per cent. Prior to the Bank’s decision on Thursday at 12.02 pm, markets priced in around three more cuts this year in predictions that would take interest rates to 3.5 [...]
Bank of England to cut interest rates as growth fears build Economics Rate-setters are likely to signal a cautious approach for the remainder of the year given lingering price pressures in the economy.
Manufacturing downturn deepens as firms brace for national insurance rise Economics Activity in the UK’s manufacturing sector fell to its lowest level in nearly a year, a new survey shows, as businesses brace for the impact of the government’s first Budget. According to S&P’s manufacturing purchasing managers’ index (PMI), factory output, new orders and employment, all fell at accelerated rates in December. This pushed the overall [...]
How much will the UK economy grow in 2025? December 31, 2024 At the beginning of the year, most forecasters expected that the UK would suffer another year of stagnation.
KPMG: UK households plan to splash the cash in 2025 December 31, 2024 The positive picture from households contrasted with a more gloomy view about the state of the economy more broadly.
UK economy flatlined last quarter revised figures reveal December 23, 2024 The latest revised figures from the Office for National Statistics have revealed the UK economy did not grow in the third quarter of this year. The statistics watchdog had previously said the economy grew 0.1 per cent in the third quarter. However, according to the latest figures, the economy flatlined, leaving the UK with no [...]
UK economy ‘at risk of stagflation’ as growth stalls under Labour December 13, 2024 Latest official GDP figures show the UK economy has stopped expanding since Labour took power, creating a headache for Keir Starmer after putting growth at the centre of his government’s mission. The economy unexpectedly shrank by 0.1 per cent in October, according to new data from the Office for National Statistics. It missed economists’ expectations [...]
UK economy on ‘recession watch’ after unexpected contraction December 13, 2024 The UK economy shrank unexpectedly in October after a fall in production output and stagnation in the services sector ahead of the Budget. GDP fell 0.1 per cent during the month, data from the Office for National Statistics (ONS) showed. Economists had expected a return to modest growth of 0.1 per cent. It marks two [...]
Reeves promises ‘deeper, more mature’ economic relationship with EU December 9, 2024 Rachel Reeves has pledged to build a “deeper, more mature relationship” with European trading partners in the first speech by a UK chancellor to eurozone finance ministers since 2020. Speaking to the Eurogroup in Brussels on Monday, Reeves also brushed off the suggestion that Britain must choose between closer ties with the US and EU [...]
US likely to fall into recession under Trump, top economist warns December 9, 2024 The US is likely to fall into recession during Donald Trump’s second term if he makes good on his campaign promises, a leading economist has predicted. Paul Mortimer-Lee, a research fellow at the National Institute of Economic and Social Research (NIESR), said growth in the world’s largest economy could slump if the president-elect follows through [...]