UK Economics Update Recapitalisation unlikely to revitalise bank lending With banks’ balance sheets under pressure, UK bank lending is set to rise more slowly, if not fall outright. This will have significant adverse effects on the UK economy, which may already be in... 13th October 2008 · 1 min read
UK Economics Update The fiscal implications of the banking measures The recently announced Government measures to support the UK banking sector may have little immediate effect on the public finances. But the downturn in the wider economy is already set to push public... 10th October 2008 · 1 min read
UK Economics Update Finally, some light at the end of the mortgage market tunnel At last, some rare good news for the housing market. Together, the bank recapitalisation plan and the 0.5% cut in official policy rates suggest that policy makers have now realised that drastic action... 8th October 2008 · 1 min read
UK Economics Update Finally, some light at the end of the mortgage market tunnel At last, some rare good news for the housing market. Together, the bank recapitalisation plan and the 0.5% cut in official policy rates suggest that policy makers have now realised that drastic action... 8th October 2008 · 1 min read
UK Economics Update Bank recapitalisation won’t transform economic outlook The Government’s reported plans to inject additional capital into some of the UK’s largest banks are unlikely to prevent a major slowdown in the growth of bank lending to households and companies from... 7th October 2008 · 1 min read
Europe Economics Update German deposit guarantee a blow to government finances The German banking sector guarantee provides further confirmation that governments will do all that they can to protect households’ deposits. Although such measures should help to gradually restore... 6th October 2008 · 1 min read
Europe Economics Update The implications of the Irish bank guarantee Another wave of euro-zone government bailouts and a bank guarantee by the Irish government show that the credit crunch is beginning to take a greater hold on the region, raising the risk of a more... 30th September 2008 · 1 min read
UK Economics Update B&B another blow to the fiscal position The nationalisation of Bradford & Bingley is another blow to the government’s already dire fiscal position. It also highlights just how vulnerable banks are to future mortgage losses, which are likely... 29th September 2008 · 1 min read
Europe Economics Update Fortis bailout adds to markets' worries Yesterday’s €11.2bn government bailout of Fortis Bank, the largest euro-zone bank rescue sinc the credit crunch began, is the starkest evidence yet that the region’s banking system is not immune to... 29th September 2008 · 1 min read
US Economics Update Lehmans – trying (and failing) to find a silver lining 15th September 2008 · 1 min read
UK Economics Update King rules out quick fixes Bank of England Governor Mervyn King today underlined the message that there are no quick fixes for the problems in the UK mortgage and housing markets. This supports the view that further sharp falls... 11th September 2008 · 1 min read
UK Economics Update US GSE rescue provides no pointers for the UK The US government’s initially well-received intervention to support the Government Sponsored Enterprises (GSEs), Fannie Mae and Freddie Mac, has prompted debate over the case for similar sort of... 10th September 2008 · 1 min read
UK Economics Focus Drop in bank lending to prompt economy to contract in 2009 With banks’ balance sheets under pressure, UK bank lending is set to rise more slowly, if not fall outright. This will have significant adverse effects on the UK economy, which may already be in... 25th August 2008 · 1 min read
UK Economics Update Northern Rock injection yet another fiscal worry The Government’s decision to inject extra capital into Northern Rock means that UK taxpayers will become shareholders in a troubled mortgage lender during what looks set to be the severest downturn in... 5th August 2008 · 1 min read
