UK Economics Update Imports check net trade boost Net trade is yet to make a positive contribution to GDP growth during this recovery – in part due to particularly strong import growth. While this is partly a welcome reflection of the recovery in... 14th September 2010 · 1 min read
UK Economics Update Food price rises shouldn’t prompt policy changes Tomorrow’s inflation figures are likely to show that a further rise in food prices stopped headline inflation from falling more sharply – or at all – in August. However, we doubt that rising food... 13th September 2010 · 1 min read
UK Economics Update Food price rises shouldn’t prompt policy changes Tomorrow’s inflation figures are likely to show that a further rise in food prices stopped headline inflation from falling more sharply – or at all – in August. However, we doubt that rising food... 13th September 2010 · 1 min read
UK Economics Update QE2 being readied for launch While the MPC predictably chose to leave policy unchanged again today, growing signs that the economic recovery is running out of steam suggest that a further bout of quantitative easing - socalled... 9th September 2010 · 1 min read
UK Economics Update Sterling rally may not be over rally in the pound has fizzled out over the last few weeks. But with concerns over the euro-zone likely to re-surface before too long and the UK set to press ahead with a decisive fiscal tightening... 8th September 2010 · 1 min read
UK Economics Update "Plan B" is to bank on the MPC The apparent lack of a “plan B” for the public finances should the economy be weaker than the Government expects supports our forecasts of sluggish growth and further monetary loosening. 6th September 2010 · 1 min read
UK Economics Update Is there any point doing more QE? With the economic recovery flagging, attention is turning to what further support policymakers can provide. While there are question marks over whether further central bank asset purchases would... 6th September 2010 · 1 min read
UK Economics Update Pension funds vulnerable to renewed economic slowdown Firms’ pension funds are still not looking particularly healthy. And a renewed slowdown in the economy could offset any benefits to pension schemes from proposed changes in inflation rules. 31st August 2010 · 1 min read
UK Economics Update Monetary Indicators Monitor (Aug.) The pick-up in the Monetary Policy Committee’s preferred measure of money supply growth has continued to fade. With bank lending so weak, the improvement never looked likely to last. 31st August 2010 · 1 min read
UK Economics Update Signs of slowdown keep rates on hold Today’s decision to leave interest rates on hold again presumably reflected growing signs that the recovery in the UK and global economies is running out of steam. With an enormous fiscal squeeze... 5th August 2010 · 1 min read
UK Economics Update Monetary Indicators Monitor (Jul.) The recent pick-up in the Monetary Policy Committee’s favoured measure of the money supply may already be fading. Meanwhile, bank lending is still struggling to rise. 29th July 2010 · 1 min read
UK Economics Update Monetary Indicators Monitor (Jul.) The recent pick-up in the Monetary Policy Committee’s favoured measure of the money supply may already be fading. Meanwhile, bank lending is still struggling to rise. 29th July 2010 · 1 min read
UK Economics Update No quick fix for bank lending Today’s paper on financial regulation beefs up the Government’s plans to expand the Bank of England’s toolkit. But there are still big uncertainties about how this will operate in practice, while the... 26th July 2010 · 1 min read
UK Economics Update Bank privatisations unlikely to support the recovery Recent press reports have suggested that the Government may be considering an early sale of some of its banking sector assets. However, any sales are unlikely to improve the fiscal outlook and may... 22nd July 2010 · 1 min read
UK Economics Update How can the Government get banks to lend? One of the Government’s biggest economic challenges is getting the banks to lend more, with the major banks reportedly meeting with the Chancellor today to discuss the issue. In the near-term, this is... 15th July 2010 · 1 min read
