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British wages, excluding bonuses, is a key gauge of inflation pressure for the Bank of England as it considers when to cut interest rates

UK pay growth slows but remains high for Bank of England

Growth in wages for workers in Britain slowed in the three months to the end of May but remained at levels that would normally be too high for the Bank of England to keep inflation at its 2% target.

Business • 18 Jul 24

UK inflation had hit 2% in May - the first time it had hit the Bank of England's target in nearly three years

UK inflation holds at 2% amid underlying price pressures

British inflation held at 2% last month, defying forecasts for a slight fall, and underlying price pressures persisted, maintaining uncertainty about the date of the Bank of England's first interest rate cut since 2020.

Business • 17 Jul 24

Today's data from the Office for National Statistics confirm Britain's economy exited a shallow recession at the start of 2024, but the overall growth picture looks weak

UK economy grew by stronger-than-expected 0.7% in Q1

Britain's economy pulled out of recession at a faster pace than previously thought in the first three months of this year, revised official data showed today, but the broader economic backdrop remains fragile ahead of next week's election.

Business • 28 Jun 24

The Bank of England last week held its key interest rate at a 16-year high of 5.25% despite UK inflation returning to its 2% target

Bank of England warns of economic risks from elections

Policy uncertainty linked to upcoming elections in France and the US has increased the risk of market volatility and other economic fallout, the Bank of England warned today.

Business • 27 Jun 24

The Bank of England's Monetary Policy Committee voted 7-2 to keep rates on hold at 5.25% today - in line with economists' expectations

Bank of England keeps rates at 5.25% ahead of UK election

The Bank of England kept its main interest rate unchanged at a 16-year high of 5.25% at its last meeting before July 4's UK election, but the prospect of a future rate cut moved closer as some policymakers said their thinking was now "finely balanced".

Business • 20 Jun 24

UK inflation returned to its 2% target in May for the first time in nearly three years

UK inflation returns to target for first time since 2021

British inflation returned to its 2% target in May for the first time in nearly three years, official figures showed today, as the economic effect of the Covid-19 pandemic and Russia's full-scale invasion of Ukraine faded.

Business • 19 Jun 24

UK house prices rose by 0.4% in May from April, new Nationwide figures show

UK house prices return to growth after wobble

British house prices rose in May after falling in the previous two months as the property market withstood high borrowing costs, figures from mortgage lender Nationwide showed today.

Business • 31 May 24

The IMF has increased its projection for British economic growth in 2024 to 0.7% from an April forecast of 0.5%

IMF warns Britain against more pre-election tax cuts

The International Monetary Fund warned Britain's government today that it was on course to miss its debt target and should not cut taxes before an election later this year, with tax rises likely to be needed in future.

Business • 21 May 24

Regular wages in the UK, excluding bonuses, grew by 6% in the first three months of 2024 compared with the same time last year, new ONS figures show

UK pay grows by more than expected as BoE mulls rate cuts

British wages grew by more than expected, according to data published today, but other figures suggested the labour market is losing some of its inflationary heat, keeping the Bank of England on alert about when to cut interest rates.

Business • 14 May 24

The Bank of England might be able to consider cutting interest rates over the summer, its chief economist Huw Pill said today

Bank of England might consider rate cut during the summer

The Bank of England might be able to consider cutting interest rates over the summer although Britain's labour market remains tight by historical standards, the central bank's chief economist Huw Pill said today.

Business • 14 May 24

The UK's economic output grew by a stronger-than-expected 0.6% in the three months to March

UK exits recession with better-than-expected GDP growth

Britain's economic output grew by a stronger-than-expected 0.6% in the three months to March after entering a mild recession in the second half of last year, data from the Office for National Statistics

Business • 10 May 24

The Bank of England has kept UK interest rates steady again at 5.25% today

Bank of England moves closer to first rate cut since 2020

The Bank of England took another step towards lowering interest rates, as a second official backed a cut and Governor Andrew Bailey said he was "optimistic that things are moving in the right direction".

Business • 09 May 24

The OECD has cut the 2024 growth forecast for the British economy to 0.4% from the 0.7% it predicted in February

UK set for weak growth and highest inflation in G7 - OECD

Britain will suffer some of the lowest rates of economic growth and highest inflation among Group of Seven countries this year and next, forecasts from the Organisation of Economic Co-operation and Development suggested today.

Business • 02 May 24

Lloyds Banking Group, the UK's biggest mortgage lender. reported a first quarter pretax profit of £1.6 billion, down from £2.3 billion a year ago

Lloyds Bank eyes house price rally as Q1 profit drops

Lloyds Banking Group's pretax profit slid by 28% in the first quarter, as rising costs, peaking interest rates and intensifying competition in the mortgage market hit income.

Business • 24 Apr 24

UK inflation slowed by less than expected to 3.2% in annual terms in March, down from a 3.4% increase in February

UK inflation rate slows to 3.2% in March

British consumer price inflation slowed by less than expected to a two-and-a-half-year low of 3.2% in annual terms in March, down from a 3.4% increase in February, the Office for National Statistics said today.

Business • 17 Apr 24

Regular wages in the UK, excluding bonuses, grew by 6% in the three months to February compared with the same time a year ago

UK wage growth eases as Bank of England mulls rate cut

British core wage growth slowed again, posting its weakest rise since the three months to September 2022 but remained strong by historical standards, according to official figures which are likely to be given a cautious welcome by the Bank of England.

Business • 16 Apr 24

The Bank of England's poor performance in economic forecasting led it to call in former US Federal Reserve chief Ben Bernanke to investigate

Bank of England to reform economic forecasting

The Bank of England said today it would implement a "substantial upgrade programme" to improve its economic forecasting, after a probe found it had "deteriorated significantly" in recent years.

Business • 12 Apr 24

UK economic output grew by 0.1% in monthly terms in February and January's reading was revised higher, new figures show today

UK growth in February points to exit from recession

Britain is on course to exit its shallow recession after economic output grew for a second month in a row in February and January's reading was revised higher, official data showed today.

Business • 12 Apr 24

The S&P Global Composite Purchasing Managers' Index edged down to 52.8 in March from February's reading of 53

UK set to exit recession despite slower services growth

The UK economy looks on track to exit recession when official first-quarter growth data is next published, despite a slowdown in services activity last month, a closely watched business survey showed today.

Business • 04 Apr 24

UK GDP shrank by 0.1% in the third quarter and by 0.3% in the fourth quarter, unchanged from preliminary estimates, the Office for National Statistics said today

Data confirms UK economy went into recession last year

Official figures confirmed Britain's economy entered a shallow recession last year, leaving Prime Minister Rishi Sunak with a challenge to reassure voters that the economy is safe with him before an election expected later this year.

Business • 28 Mar 24

The Bank of England said today the UK economy was 'moving in right direction' for rate cuts

Bank of England keeps UK interest rates at 5.25%

Britain's economy is "moving in the right direction" for the Bank of England to start cutting interest rates, Governor Andrew Bailey said today as two of his colleagues dropped their votes for a rate hike.

Business • 21 Mar 24

Some private equity funds are using borrowings from banks to boost their returns

Concern as credit funds increase borrowing from banks

Europe's private credit funds are increasingly borrowing from banks to boost their performance, fuelling concerns about the wider risks posed by this interconnectedness.

Business • 14 Mar 24

UK economic output grew by an as expected 0.2% in January, after entering a shallow recession in the second half of 2023

UK economy returns to growth at start of 2024

Britain's economy returned to growth at the start of 2024, offering some relief to Prime Minister Rishi Sunak ahead of an election expected this year, after it entered a shallow recession in the second half of 2023, official data showed.

Business • 13 Mar 24

Marks & Spencer said the UK pay hikes would cost it £89m

Marks & Spencer to raise UK store workers' pay by 10%

UK clothing and food retailer Marks & Spencer said today it would give around 40,000 store workers a 10.1% pay increase from April 1, a move that reflects the rise in the UK government-mandated minimum wage.

Business • 27 Feb 24

BoE's Bailey 'comfortable' that markets expect rate cuts

Bank of England Governor Andrew Bailey said today he was comfortable with investors betting on interest rate cuts this year but pointed to signs that Britain's economy was picking up after falling into recession in late 2023.

Business • 20 Feb 24