The past week was packed with new data releases which sent some mixed signals on the health of the UK economy and the prospects for 2026. This note takes stock. The most encouraging news came from the latest S&P Global Flash UK PMI Composite Output Index, which jumped to 53.9 in January from 51.4 in December. … Continue reading Is the UK economy “turning the corner”?
Category: Applied economics
Why Labour shouldn’t try to claim credit for the FTSE’s record highs
A couple of weeks ago, the Chancellor was widely criticised for calling the FTSE 100’s climb past 10,000 a “vote of confidence in Britain’s economy”. As many commentators pointed out at the time (including myself), the FTSE 100 is dominated by large global companies, while the more domestically focused FTSE 250 has underperformed. I would … Continue reading Why Labour shouldn’t try to claim credit for the FTSE’s record highs
Why Labour’s “build, baby, build” mission is struggling to take off
Steve Reed, the newish Secretary of State for Housing, has certainly brought fresh energy to the role. This has even extended to waving MAGA-style caps with Trump-like calls to “build, baby, build!”. But while it is still early days, little has improved on the ground. The construction sector is worth watching closely for at least … Continue reading Why Labour’s “build, baby, build” mission is struggling to take off
The UK economy is trapped in a “doom loop” by a clueless government
The early omens for 2026 are not good. The UK is stumbling into the New Year on the brink of recession. Indeed, the economy stopped growing last summer as Budget jitters began to undermine confidence and spending again. Only some favourable rounding in August prevented headline GDP from falling in every month from July to … Continue reading The UK economy is trapped in a “doom loop” by a clueless government
Plain-speaking Economics 