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Interest rates

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Interest rates are poised to rise – which means we’ll find out how much of the recovery is real

13 June 2014 16:10

Mark Carney’s hefty hint that interest rates could rise sooner than markets anticipate is politically awkward but important, as until they do so, we shall have very little idea of… Continue reading

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Image: Getty

The politics of interest rates

14 May 2014 8:36

The Bank of England’s inflation report will be published later this morning, which will reveal how strong the bank believes the recovery to be. All eyes will be on its… Continue reading

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Bank Of England Cut Interest Rates To All Time Low

Inflation falls again

15 April 2014 10:06

Wages in the private sector are now rising faster than inflation. The latest CPI inflation figures show that it now down to 1.6 per cent, comfortably below the Bank of… Continue reading

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Pensions Minister Steve Webb on the Sunday Politics. Photo: BBC.

Pension reforms are vital to encourage saving. But what about everyone else?

23 March 2014 13:16

‘This reform is about treating people as adults’ — according to the Pensions Minister Steve Webb. The announcement of a pensions revolution in this week’s budget took everyone by surprise,… Continue reading

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(Photo: Leon Neal/AFP/Getty)

Budget 2014: Who benefits from Osborne’s savings revolution?

19 March 2014 16:55

The most obvious beneficiaries of George Osborne’s savings package are pensioners. They now can buy government bonds with an interest rate of 2.8% for an annual bond and an annual… Continue reading

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Budget 2014: George Osborne’s pensions revolution

19 March 2014 14:27

This will take a while to sink in – we simply have never seen this before in a Budget. George Osborne has just revolutionised the way pensions work; millions of… Continue reading

29 Comments
Image: Getty

The economy is booming, says the Bank of England. So why won’t it raise rates?

13 November 2013 12:13

Yet another survey suggests that Britain is booming – this time, it’s from the Bank of England’s Monetary Policy Committee. They’re the guys who kept interest rates too low for… Continue reading

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Mark Carney has said that rates will be held until unemployment reaches 7 per cent. (JASON ALDEN/AFP/Getty Images)

Interest rates set to stay low for the foreseeable future

7 August 2013 11:20

Mark Carney made his mark this morning. Moments ago, he opened his inflation report and issued his ‘forward guidance’, which is designed to make the markets aware of his long-term plans… Continue reading

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Paul Tucker, Deputy Governor of the Bank

The Bank of England panics and misses the point

27 February 2013 15:55

Wonders never cease. I awoke this morning to hear that the Deputy Governor, Paul Tucker, had announced that consideration should be given to the Bank of England setting negative interest… Continue reading

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The IMF says it’s the Bank’s economy now

22 May 2012 11:35

When the IMF published a report into the UK economy last year, I wrote a blog post detailing how it managed to please everyone: George Osborne, Vince Cable, Mervyn King,… Continue reading

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Right to reply: Why QE isn’t a disaster for pensioners

15 March 2012 14:08

The best of all possible worlds for the pension industry is a buoyant economy. Workers have enough money to save, share prices rise and dividend growth is robust. Interest rates… Continue reading

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The wealth transfer and where it’s going

8 March 2012 17:06

The last three years have been one big transfer of wealth from savers to borrowers. Thanks to record low interest rates, savers have gained little from tucking their money away… Continue reading

20 Comments

The growth script still needs writing

15 December 2011 11:08

The Times is being a bit harsh on Cameron in its leader this morning. ‘On the economy’, it says, ‘Cameron has contracted out policy to George Osborne and then followed… Continue reading

29 Comments

Read my lips: no new tax cuts

24 September 2011 9:39

There are still rumours in Westminster that David Cameron will cut taxes to stimulate the economy, but the speech he gave to the Canadian parliament on Thursday rather scotches this… Continue reading

33 Comments

Inflation target missed again

13 September 2011 14:45

Today’s inflation figures remind us of the trouble the Bank of England will have if – as most analysts suspect – it embarks on another phase of Quantitative Easing. CPI… Continue reading

27 Comments

The dangers of home ownership

30 August 2011 11:58

The slump in home ownership is reported today as a bad thing. Many Conservatives, who believe that home ownership releases what the late Shirley Letwin called "vigorous virtues", may agree.… Continue reading

49 Comments

The good news story that Osborne wants you to hear

28 July 2011 13:52

  There was much sly amusement earlier this week when George Osborne, responding to the latest growth figures, described Britain as "a safe haven in the storm". The idea that… Continue reading

36 Comments

Shaking our faith in money

18 July 2011 18:45

Addictive though the hacking inquiry is, the average Brit is probably more worried about the slow decimation of his spending power at a time when salaries are flat. Against this… Continue reading

72 Comments

Mixed news from the Eurozone

13 May 2011 11:21

France and Germany’s better than expected growth numbers are making news today. But the divergence within the Eurozone — Estonia grew at 2.1 percent in the first quarter, Portugal shrank… Continue reading

18 Comments

Miliband can’t credibly complain about both inflation and growth

18 January 2011 18:27

Today’s shocking inflation figures have sparked a fascinating debate. I laid out my take earlier, and I thought CoffeeHousers may appreciate a different perspective. Matthew Hancock MP is a member… Continue reading

32 Comments

The inflation crisis deepens

18 January 2011 10:33

How big does inflation have to get before our politicians admit that it’s a problem? Once again, it has “surprised” on the upside – the CPI index stood at 3.7… Continue reading

78 Comments

The crash from an Austrian perspective

10 January 2011 18:00

It’s not all politics at Westminster. There’s a pretty good think-tank scene too, with lectures on topics that you’re unlikely to read about in the newspapers. One took place today:… Continue reading

55 Comments

A double boost for the coalition’s economic strategy

26 October 2010 11:49

Perhaps, the most important thing about the 0.8 percent growth figure for the third quarter announced this morning is that all but 0.1 percent of it came from the private… Continue reading

28 Comments

A good war

17 June 2010 10:35

As Allister Heath notes in City AM this morning, Mervyn King has had a good war. Well, not so much a good war as a profitable peace. King contributed to… Continue reading

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