The Office for National Statistics has revealed the figures for the UK’s GDP in the last three months of 2012 and delivered the news that the economy shrank by 0.3% from the beginning of October to the end of December 2012. This is much larger than the 0.1% contraction which had been predicted by most […]
World Economic Forum Warns of Danger of Debts
The huge amount of debt that is built up around the world is a major concern, according to a report issued by the World Economic Forum (WEF) ahead of its annual meeting. Listing five factors that posed the biggest threat to global economic stability, the loans that governments around the world depend upon were highlighted. […]
Borrowing Costs Could Increase if UK loses Credit Rating
Leading economists have warned that it is unlikely that Britain will retain its AAA credit rating with all three major credit rating agencies through 2013, given the economic climate and the way the UK’s finances are going. This will be a particularly embarrassing development for George Osborne, who has repeatedly claimed that his actions have […]
Think Tanks Claim Living Wage could Reduce Government Benefits Bill
Two respected think tanks, the Resolution Foundation and IPPR, have come out claiming that by introducing the living wage to council workers or those employed by government bodies through England and Wales, the UK benefits bill could be cut by as much as £2billion a year without significantly affecting the wages that the government has […]
RBS Continues Libor Fine Negotiations
Despite rumours emerging that RBS was about to settle its Libor rigging fines, it looks like the negotiations with the Financial Services Authority (FSA) will continue for a while yet, and concrete figures still haven’t emerged. Whereas the highest estimates tend to be around £350million (and some people estimate it could even reach £400million), it […]
Sir James Crosby apologises for his role in causing the financial crisis
The former chief executive of HBOS, Sir James Crosby, has apologised in front of the Parliamentary Commission on Banking Standards for his role at the bank in the lead up to the financial crisis. Telling MPs that the lending which took place at the bank was “incompetent”, he also said he didn’t think he would […]
Eurocrisis Continues as Spanish banks are Bailed Out
In what has been viewed as a major part of the rescue of the Spanish economy, Europe finally handed over the money to bail out Spain’s ailing banks, giving out billions of euros in exchange for a sweeping series of cuts and restructuring throughout the banks’ businesses. The bank that’s been grabbing most headlines due […]
Nationwide Launches Interest-Earning Current Account
Nationwide has stuck its neck out today by launching an interest-earning current account, the first time that the bank has changed the line up of products it offers in over twenty-five years. This just goes to demonstrate the changes that are being felt throughout the banking industry and the struggle traditional providers are having to […]
George Osborne Performs Poorly In Front of Banking Standards Commission
Chancellor George Osborne turned up to answer the questions of the Parliamentary Commission yesterday and gave a very poor performance, allowing the members of the commission to repeatedly get one over on him and demonstrating a failure to understand the purpose of the committee in the first place. At the very beginning of his appearance, […]
Moody’s Warns it may Downgrade UK Credit Rating
The credit ratings agency Moody’s has warned that the UK faces having its credit rating downgraded if the government’s failure to grow the economy continues. In a statement, the agency said that the UK government may not be as good at repaying its loans in future as their ability to raise capital is “being hampered […]