Bank of England’s Kristin Forbes: “Banking deglobalisation will have widespread repercussions for the United Kingdom” November 19, 2014 Shrinking international financial flows could make it more difficult for the UK to fund its current account deficit, Bank of England monetary policy committee member Kristin Forbes said today. The American economist argued that international financial flows have shrunk since the last financial crisis, leading to a climate of banking deglobalisation. Forbes, who [...]
As the Bank of England predicts low inflation for longer, is real wage growth here to stay? November 12, 2014 Rob Wood is chief UK economist at Berenberg Bank, says Yes. Real wage growth is here to stay, but it’s important to keep some perspective. We are finally seeing wages rise above inflation, partly because petrol and food price falls have dragged the latter down. Money wage growth remains weak, if better than a few [...]
Quarterly inflation report: Bank of England signals no interest rate hike until autumn 2015, cuts growth and inflation forecasts November 12, 2014 No rate rise until next autumn – that was the message from Bank of England governor Mark Carney in his quarterly inflation report this morning. "What really matters is the broad process of monetary policy, not a specific date for the first interest rate rise", Carney said, causing markets to predict the first increase will [...]
Bank of England fires chief currency dealer Martin Mallett after forex scandal probe November 12, 2014 A senior figure at the Bank of England has been fired for serious misconduct after failing to follow internal policies. BoE chief currency dealer Martin Mallet, who has worked at the Bank for 30 years, was suspended in March. Following a disciplinary procedure, he was dismissed yesterday. The BoE made clear this was in relation [...]
Bank of England expected to cut UK growth outlook November 10, 2014 The Bank of England (BoE) is expected to lower its growth and inflation forecasts for the UK on Wednesday, signalling a delayed rate hike. Wednesday sees the release of the BoE’s quarterly Inflation Report, which sets out the Bank’s estimates for GDP growth and inflation. August’s edition predicted growth of 3.5 per cent in 2014, [...]
Bank of England leaves interest rate at 0.5 per cent for 68th month in a row November 6, 2014 The Bank of England's monetary policy committee (MPC) leaft interest rates unchanged again this month, making it the 68th month in a row rates have been at a historic low of 0.5 per cent. The Bank also left its quantitative easing programme at £375bn, even though across the pond, the Fed wound its programme to [...]
Bank of England offers lender of last resort access to non-banks for first time in over a century November 5, 2014 The Bank of England (BoE) made an unprecedented move yesterday as it allowed certain non-bank organisations to access its account facilities – expanding its so called lender-of-last-resort access. For at least a century, only commercial banks and building societies had the privilege of keeping accounts with the BoE. Commercial banks such as Halifax and NatWest can [...]
Bank of England widens access to back-stop loans November 5, 2014 The Bank of England has today widened access to its “back-stop” loans to include broker-dealers and central counterparties (CCPs) for the first time. The inclusion of these two groups within the Sterling Monetary Framework is “designed to recognise the important role” they play in the financial services industry and the wider economy, the Bank [...]
Barclays share price leaps and bank shares rise as Bank of England recommends raising leverage ratio for UK banks October 31, 2014 The Bank of England (BoE) has revealed proposals to increase the leverage ratio of UK banks to ensure they have a larger safety net to fall back on in the event of another financial crisis. The tough new measures will force banks to keep capital of up to 4.95p for every £1 they lend by [...]
Bank of England deputy governor Minouche Shafik: Finance is stronger now October 27, 2014 Huge fines and revelations about some bankers’ bad behaviour in years gone by is obscuring recent progress made in cleaning up the industry, Bank of England deputy governor Minouche Shafik said last night. Shafik has launched a nine-month review into fixed income, currency and commodities markets, looking at every aspect from the way securities are [...]