UK Economics Update Rising bad debts on “normal” loans another blow for banks Today’s figures on banks’ debt write-offs are a reminder that, whilst the biggest losses on so-called “toxic” assets may be behind us, the recession-related losses on conventional loans to firms and... 1st September 2009 · 1 min read
UK Economics Update Rising bad debts on “normal” loans another blow for banks Today’s figures on banks’ debt write-offs are a reminder that, whilst the biggest losses on so-called “toxic” assets may be behind us, the recession-related losses on conventional loans to firms and... 1st September 2009 · 1 min read
UK Economics Update Monetary Indicators Monitor (Aug.) Given how much money the Monetary Policy Committee (MPC) has now pumped into the economy through its quantitative easing (QE) policy, the Committee’s preferred measure of broad money growth remains... 20th August 2009 · 1 min read
UK Economics Update Labour market flexibility won’t prevent further job cuts Employment during this recession is on course to fall by less than its past relationship with GDP would suggest. Nonetheless, the labour market shake-out still has a lot further to go. 17th August 2009 · 1 min read
UK Economics Update QE is working – but not well enough for a strong recovery Yesterday’s Bank of England Inflation Report highlighted a number of reasons why quantitative easing (QE) is having more success than might first appear. However, the big picture is that it is not... 13th August 2009 · 1 min read
UK Economics Update How fast does broad money need to grow? The Monetary Policy Committee (MPC) has recently put great store in the broad money figures as a measure of the effectiveness of its quantitative easing (QE) policy. Its preferred measure of money is... 10th August 2009 · 1 min read
UK Economics Update Extra £50bn shows MPC prepared to do all that it takes The fact that the Monetary Policy Committee (MPC) extended its policy of asset purchases by another £50bn at today’s meeting no doubt reflected the limited impact of quantitative easing (QE) so far... 6th August 2009 · 1 min read
UK Economics Update Extra £50bn shows MPC prepared to do all that it takes The fact that the Monetary Policy Committee (MPC) extended its policy of asset purchases by another £50bn at today’s meeting no doubt reflected the limited impact of quantitative easing (QE) so far... 6th August 2009 · 1 min read
UK Economics Update Banks’ results of little reassurance on the lending front Markets have reacted positively to the interim results released by the major banks in the past few days. Indeed, the banking sector appears to be getting back on its feet. But there was little in the... 5th August 2009 · 1 min read
UK Economics Update Banks’ results of little reassurance on the lending front Markets have reacted positively to the interim results released by the major banks in the past few days. Indeed, the banking sector appears to be getting back on its feet. But there was little in the... 5th August 2009 · 1 min read
UK Economics Update Bank privatisation won’t prevent fiscal tightening Recent speculation that the Government may soon look to sell off its shares in some or all of the nationalised banks has raised the question of whether the proceeds from such sales might reduce the... 29th July 2009 · 1 min read
UK Economics Update Will swine flu prolong the recession? With the number of reported cases of swine flu rising sharply, estimates of the impact of the pandemic on the global and UK economies are escalating too. Upper estimates for the damage to the UK have... 27th July 2009 · 1 min read
UK Economics Update Will swine flu prolong the recession? With the number of reported cases of swine flu rising sharply, estimates of the impact of the pandemic on the global and UK economies are escalating too. Upper estimates for the damage to the UK have... 27th July 2009 · 1 min read
UK Economics Update ILO measure of unemployment most relevant for spending The main measures of unemployment have recently been giving conflicting messages. We think that the ILO measure – which is still rising sharply – is most relevant to the consumer spending outlook. 23rd July 2009 · 1 min read
UK Economics Update Monetary Indicators Monitor (Jul.) The broad monetary aggregates are still showing little sign of responding to the Bank of England’s quantitative easing (QE) programme of asset purchases. We therefore continue to doubt that the QE... 20th July 2009 · 1 min read
UK Economics Update Which sectors will falling household income hit hardest? The consumer downturn has so far been driven primarily by tighter credit conditions, falling house prices and low consumer confidence. But weak household income growth will play an increasing role, as... 15th July 2009 · 1 min read
