UK Economics Correspondent, London
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Mar 4, 2015

UK living standards lag 2010 levels as election nears – think tank

LONDON, March 4 (Reuters) – British living standards remain
below those before the last national election in 2010, a leading
think tank said on Wednesday, putting Prime Minister David
Cameron’s economic record back in the spotlight ahead of May 7′s
election.

Living standards for people in the middle of the income
distribution were 2 percent lower than before the last election,
the non-partisan Institute for Fiscal Studies said.

Mar 3, 2015

Bank of England sacked FX dealer for string of misjudgments – Carney

LONDON, March 3 (Reuters) – The Bank of England’s former
chief foreign exchange dealer broke internal rules on
confidentiality and information technology policy before his
dismissal last year, BoE Governor Mark Carney told legislators
on Tuesday.

The BoE fired Martin Mallett in November as it announced the
findings of an independent review into what staff knew of
attempts by foreign exchange traders at leading banks to
manipulate currency rates.

Feb 27, 2015

Britain’s would-be finance ministers sum up stark choice for voters

LONDON, Feb 27 (Reuters) – The stark choice faced by Britons
in May’s national election is summed up nowhere more clearly
than by the two men vying to be finance minister. One wants more
austerity to erase the deficit, the other says it is time to
talk about living standards.

The Conservatives’ George Osborne, 43, and Labour’s Ed
Balls, 48, have helped define what their parties stand for. Now
each is betting that the other has miscalculated the public mood
as they bid to oversee the world’s sixth-largest economy – now
growing again after years of painful budget cuts.

Feb 26, 2015

Bank of England tightens internal rules after FX investigation

LONDON, Feb 26 (Reuters) – The Bank of England announced
tougher rules for its staff who speak regularly with bond and
currency traders, after a review last year showed a senior
member of staff had turned a blind eye to market malpractice.

The BoE said on Thursday it would set out the terms of the
Bank’s engagement with market participants, provide better
training for staff, improve note-taking and form a new committee
to oversee the way it gathers intelligence from the market.

Feb 26, 2015

UK business investment slips as oil prices fall, trade boosts GDP

LONDON (Reuters) – British business investment fell at its sharpest rate in nearly six years late last year, after tumbling global oil prices hit the North Sea petroleum industry, but stronger exports helped make economic growth a bit more balanced.

Gross domestic product between October and December grew by a quarterly 0.5 percent, data showed, confirming a preliminary reading. That was the slowest growth rate in a year, although there have been signs the economy started 2015 more strongly.

Feb 25, 2015

Carney shifts research focus towards finance

LONDON (Reuters) – The Bank of England needs to focus more of its research on financial markets and on the effectiveness of its new regulatory powers, Governor Mark Carney said on Wednesday when he introduced a new agenda for the central bank’s researchers.

The BoE now has one of the broadest policy remits of any major central bank, which includes regulating the City of London as well as setting interest rates, after Britain revamped the way it supervises banks following the financial crisis.

Feb 25, 2015

Bank of England’s Carney shifts research focus towards finance

LONDON, Feb 25 (Reuters) – The Bank of England needs to
focus more of its research on financial markets and on the
effectiveness of its new regulatory powers, Governor Mark Carney
said on Wednesday when he introduced a new agenda for the
central bank’s researchers.

The BoE now has one of the broadest policy remits of any
major central bank, which includes regulating the City of London
as well as setting interest rates, after Britain revamped the
way it supervises banks following the financial crisis.

Feb 24, 2015

Don’t use low inflation to curb pay, BoE’s Carney warns employers

LONDON (Reuters) – Bank of England chief Mark Carney warned employers on Tuesday not to use near-zero inflation as an excuse to offer staff low wage settlements, as that might derail Britain’s economic recovery.

British wages have only recently started to rise faster than inflation after years of real-term falls.

Feb 24, 2015

Don’t use low inflation to curb pay,Carney warns employers

LONDON (Reuters) – Bank of England chief Mark Carney warned employers on Tuesday not to use near-zero inflation as an excuse to offer staff low wage settlements, as that might derail Britain’s economic recovery.

British wages have only recently started to rise faster than inflation after years of real-term falls.

Feb 24, 2015

Government body urges 3 percent rise in minimum wage

LONDON (Reuters) – A British government body recommended a 3 percent rise in the minimum wage on Monday, which would take it to 6.70 pounds an hour, the biggest real-terms increase since 2007.

Although the wage rise is not due to take effect until October, the prospect of more pay could boost morale among Britain’s lowest earners in the run-up to a national election in May, when the cost of living is likely to be a major issue.

    • About David

      "David keeps a close watch on the UK economy, the Bank of England and the British government debt market. Previously he worked in Frankfurt, covering the European Central Bank and euro zone economy, and in Brussels where he reported on everything from EU summits to Belgian supermarkets."
      Languages:
      English, French, German
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