~theguardian-world | Bookmarks (21)

UK’s blue-chip index reaches 8,076, surpassing previous high of 8,047 in February 2023Business live – latest updatesThe UK stock market hit a record high on Tuesday, as shares were lifted by hopes of interest rate cuts and an easing of geopolitical tensions.The FTSE 100 index of blue-chip stocks listed in London hit 8,076 points on Tuesday, surpassing a previous high of 8,047 in February...

Government borrowed £120.7bn in the last financial year, with just under £12bn in MarchBusiness live – latest updatesJeremy Hunt’s scope for a substantial pre-election tax giveaway has been hit after the latest set of official figures showed the UK’s public finances in worse shape than thought at last month’s budget.Figures from the Office for National Statistics (ONS) showed the government borrowed £120.7bn in the...

Predictions for when Bank of England will start lowering cost of borrowing pushed back Business live – latest updatesThe UK’s annual inflation rate fell by less than expected in March to 3.2%, complicating the timing of a first Bank of England interest rate cut.Figures from the Office for National Statistics (ONS) show inflation continued to fall from 3.4% in February to reach the lowest...

Pay growth is stronger than expected, underlining dilemma over when to cut interest ratesBusiness live – latest updatesThe number of people out of work rose by more than expected in February, raising concerns that employers are beginning to lay off staff in response to high interest rates.The Office for National Statistics said the unemployment rate increased to 4.2% in February from 3.9%, well above...

February growth of 0.1% comes despite construction and retail being hit by wet start to yearBusiness live – latest updatesBritain’s economy has taken a step closer to exiting recession as official figures showed growth continued in February despite a washout month for construction and retail after one of the wettest starts to a year on record.The Office for National Statistics (ONS) said gross domestic...

Risk of declining consumption, house price falls and defaults as tighter policy finally has impactBusiness live – latest updatesThe high proportion of UK homeowners on fixed-rate mortgages means the Bank of England should be wary of keeping interest rates too high for too long, the International Monetary Fund has warned.The IMF said many borrowers had been sheltered until now from the impact of higher...

Resolution Foundation points to legacy of Covid as it warns that near-record 2.7m people are too ill to workBritain is going through the longest sustained rise in the number of working-age adults who are too sick to work since the 1990s, according to a report warning that a benefits crackdown is unlikely to solve the country’s jobless crisis.The Resolution Foundation said economic inactivity due...

Shadow chancellor will tell high-profile financial audience that ‘mission-led’ governments must take a lead in turbulent timesThe shadow chancellor, Rachel Reeves, will pledge to embark on a “decade of renewal” if Labour is returned to power at the next election.Speaking at the annual Mais lecture in London on Tuesday, Reeves will tell an audience of bankers and financial executives that she will create a...

Pharmacies, banks and pubs retreat from town and city centres knocked by failure of Wilko last yearAlmost 5,000 more chain stores were left empty last year – a rate of about 14 closures a day – as high streets were hurt by the failure of Wilko and the retreat of banks and pubs.Pharmacies were the biggest loser with 787 chain outlets disappearing – although...

David Willetts suggests policy would help spread wealth among millennials amid deepening inequalitiesMinisters should hand all 30-year-olds a £10,000 “citizens inheritance” amid fears a £1.5tn wealth transfer to millennials will deepen inequalities, a Conservative peer has urged.David Willetts, who leads the Intergenerational Centre thinktank, called for the next government to implement a major new policy to spread wealth in Britain. Continue reading...

Insecure jobs and high housing costs make it hard to maintain decent living standard, says abrdn Financial Fairness TrustBritain’s insecure jobs market and high housing costs are leading to the growth of a precarious middle class struggling to maintain a decent living standard on household incomes as high as £60,000 a year, a report has said.A study released by abrdn Financial Fairness Trust, a...

December figures pose dilemma for Bank of England, dampening hopes of early interest rate cutBusiness live – latest updatesPay growth slowed less than expected in December as workers continued to bid up their wages amid skills shortages and a record number of people with long-term sickness.The Office for National Statistics (ONS) said annual growth in regular earnings, excluding bonuses, was 6.2% in October to...

December deficit is less than expected at £14bn – the lowest for the month since 2019Business live – latest updatesA halving of UK government borrowing over the past year has created scope for Jeremy Hunt to make tax cuts worth about £20bn in his March budget.Data from the Office for National Statistics showed that higher VAT and income tax receipts coupled with lower spending...

Capital accounts for almost half of sector’s exports and action needed elsewhere, says Resolution FoundationLondon is capturing an ever-bigger share of the UK’s record service sector exports and government action is needed to ensure other big cities keep pace with the capital, a report says.The Resolution Foundation said London accounted for almost half of the UK’s service sector exports, with its share of the...

From food, alcohol and tobacco to fuel prices and holidays, how the cost of everyday items variesUK inflation rises as cost of tobacco and alcohol increasesAnalysis: Inflation rise complicates outlook on interest ratesThe UK’s annual inflation rate unexpectedly increase to 4.0% in December, up from 3.9% in November.The Office for National Statistics compiled the overall reading using the consumer prices index but also logs...

Surprise increase is blow to Bank of England’s fight against rising prices –but could be followed by fallsUK inflation rises as cost of tobacco and alcohol increasesWhich UK goods and services have changed most in price?Inflation went in the wrong direction at the end of 2023. It might seem like a small, possibly insignificant, reversal of a downward trend, but December’s rise in the...

Vacancies tumbled at the fastest rate on record in December, according to ONS figuresBusiness live – latest updatesPay growth in the UK slowed more than expected in November, in a sign that inflationary pressures have weakened more than the Bank of England was expecting when it issued its latest forecasts.Average pay growth was 6.5% in November, down from 7.2% in the previous month according...

Rolling coverage of the opening day of the World Economic Forum in DavosGeopolitical tensions and AI dominate start of World Economic ForumUkraine’s president, Volodymyr Zelenskiy, has met business chiefs at a session for “CEOs for Ukraine”, here at the World Economic Forum, before his speech this afternoon.He was seated alongside Ursula von der Leyen, European Commission President, who will also address WEF today: Continue...

GDP rises by 0.3% in November after October decline, with car leasing and video games fuelling bouncebackBusiness live – latest updatesThe UK economy returned to growth in November after a recovery in consumer spending driven by Black Friday sales, with shoppers hunting for bargains as the key Christmas shopping season got under way.Gross domestic product rose by 0.3% on the month, after a decline...

In today’s newsletter: Guardian experts assess the government’s progress on the prime minister’s key promisesSign up here for our daily newsletter, First EditionGood morning. After Hanukkah, Christmas, Kwanzaa and New Year, the last great festival of the season: Rishi Sunak’s five pledges anniversary day. The prime minister is marking the occasion with a trip to the east Midlands, while Keir Starmer is making a...

The £62m dispensed on last Friday before Christmas beat £51m record set in 2022 to reflect sharp annual rise in inflationMore than £62m in cash was withdrawn from Post Office branches on the Friday before Christmas, the most ever in a single day, as people rushed to finish their festive shopping.The record withdrawals on 22 December from the 11,500 Post Office branches across the...