In recent months, the Pound Sterling has fallen against the dollar to levels not seen since 1985. This reflects long-term concerns about the UK economy, Brexit, the winter energy crisis and concerns about an imminent recession. The pound has fallen 16% this year, and the last month was the worst since 2016. The Pound is …
In 1952 when Queen Elizabeth II came to the throne, the UK was a major economic power, but still reeling from the costs of the Second World War, with rationing and austerity still visible. The post-war period saw a remarkable rising living standards, strong economic growth and radical changes in the economy, but also saw …
For many people, especially those under 40, the UK housing market appears broken, with excessive prices making it difficult to buy and very expensive to rent. Housing costs are one the biggest factors in a long-term cost of living crisis. The UK isn’t alone, with many advanced economies also facing a broken housing market and …
Politicians often promise tax cuts can lead to higher productivity, higher economic growth, and even pay for themselves through a boost to long-term incomes. These promises may chime with the electorate who tend to prefer promises of tax cuts. But, do tax cuts really increase economic growth? There are two impacts of lower tax. Increasing …
The Russian fossil fuel industry is facing a real crisis. Western sanctions and Russia’s own embargo on exports to the West mean that the industry is facing long-term decline. Already there have been reports of ‘capping’ of natural gas facilities. This means that natural gas is burnt at its source because the industry cannot sell …
Historical Interest Rates in UK since 1800 Interest rates in the UK since 1800. Bank Rate 1830–1972 and 2006–09, Minimum Lending Rate 1972–81, London clearing banks’ base rate 1981–97, repo rate 1997–2006. End year observation.
A recent report by the Bank of England made for grim reading. UK Output is forecast to fall and inflation is predicted to rise to a level not seen since the early 1980s. The UK like many economies is facing short-term pressures – rising energy prices, supply shortages and slowing growth. But, the malaise of …
The EU relies heavily on Russia for the import of natural gas – around 40% of all natural gas at the start of 2022. Since June 2021, there has been a 60% cut in Russian gas, and this has caused considerable distress in the form of higher prices, inflation, lower economic growth and potentially devastating …