Economics
Demand for urgent action on cost of living crisis as retail sales slump
The Government must look after ordinarily working people as growth lowest for four years. GMB union has called for urgent action on the cost of living crisis as retail sales growth slumped to its lowest level for four years. Figures from the ONS this morning show that the annual retail sales growth rate was the lowest since April 2013. Non-food stores were the main contributing factors to this slowdown with an annual fall of 1.2% and predominantly food stores saw...
Average pay drops as inflation soars
The average pay has dropped by 0.4 per cent, new figures have a revealed - a day after news broke that inflation has shot up to 2.9 per cent. Even taking into account bonuses real average weekly earning, taking account of inflation, decreased by 0.4 per cent and by 0.6 per cent excluding bonuses. Today’s figures are the first time average earnings, including bonuses, have gone into decline since 2014. GMB says the squeeze in pay and living standards is more evidence the...
UK in desperate need for a pay rise as wages drop AGAIN, says Union
Conservative’s flawed economic plan exposed once more as average pay drops even including bonuses GMB says the UK desperately needs a pay rise as average real terms wages drop once again. Even taking into account bonuses real average weekly earning, taking account of inflation, decreased by 0.4% according to today’s figures – and by 0.6% excluding bonuses. Today’s figures are the first time average earnings, including bonuses, have gone into decline since 2014. Just yesterday ONS figures showed inflation has...
The economic outlook is “uncertain”
Uncertainty was the theme in the latest Global Economy Watch from accountants PWC. Almost a third of business leaders say they expect at least one crisis within the next three years, and uncertain economic growth is perceived to be the biggest threat to business. Uncertainty over Brexit could dampen business investment and push up household savings rates, further dampening consumer spending growth. A hung parliament following the UK election could also add to business uncertainty. Barret Kupelian, senior economist at...
Why the THAAD Missile System Could Cripple the South Korean Economy
The news of the deployment of a THAAD missile defence system in South Korea is creating tension and conflict in the region. Despite ongoing concerns, the United States works with the country to get the system operational as a security measure against unpredictable North Korea, China is lashing out in protest over the issue. To voice its disagreement, China is taking aim at South Korea’s economy at several different ways that could have disastrous consequences for the country. As South...
The Bank of Mum and Dad is Now the UK’s 9th Largest Lender
While the so-called 'Bank of Mum and Dad' is well-known concept, it is one that has become increasingly relevant since the great recession. Incredibly, parents are now thought to fund more than a quarter of house purchases in the UK market, as rising inflation and real wage growth continues to hinder first-time buyers. In financial terms, the Bank of Mum and Dad has become the equivalent of the ninth-largest mortgage lender in Britain, ahead of even prominent establishments like the...
Five Labour narratives that simply aren’t true
Given that they hold so much influence over our hearts and minds, it’s a bit of a problem for our democracy that the majority of the UK press is owned by a handful of foreign-based billionaires, who predominantly back the Tories.. The proprietors of our favourite newspapers have significant financial interests elsewhere and as such it is no surprise, or secret, that they have traditionally aligned themselves with the Conservative Party. So, it’s not a shock either that many Tory Party narratives seem to...
China downgraded by Moody’s for first time since 1989
China has been downgraded by Moody's for the first time since 1989 sending worrying messages to the rest of the world. Expectations that the country's financial strength will deteriorate in coming years was cited as a primary reason for downgrading the Asian powerhouse. Rising debt and a cooling economy were also referenced as reasons for downgrading China's rating to A1 from Aa3 and changing its outlook from stable to negative. According to Mihir Kapadia, CEO and Founder of Sun Global Investments, Moody’s...
Brexit woes: Industrial output declines & trade deficit increases
The ONS have indicated that the sharp fall in the pound since Brexit has not helped boost exports in March. The trade deficit increased and industrial output contracted more than was forecast. The economy appears to be faltering and Brexit is to blame. It is feared that when the UK finally breaks from the EU, there could be a shocking collapse of the UK economy. The deal PM May secures with the EU is increasingly important, but the anti-European rhetoric...