A well-deserved defeat for Donald Trump and more dither and delay from Andy Burnham. At least the BoE delivered a decisive rate hike – the first of ‘two and done’? – and it was right to do so. Theme of the Week Global attention turned to the aftermath of the US mid-term elections, where Trump’s … Continue reading Weekly wrap – Mid-term blues
Category: Monetary policy
MPC had to take out an ‘insurance’ hike
With a bit of luck, the Bank of England will not have to raise interest rates much further. Nonetheless, borrowers are still paying the price for years of government policy failures. The Bank of England’s decision to raise interest rates by a quarter point, to 4%, is an insurance hike to get ahead of the … Continue reading MPC had to take out an ‘insurance’ hike
Weekly wrap – Budget fears might ease, but Brexit uncertainty is back
Including thoughts on the Budget, government bond yields, the folly of reopening the Brexit debate, some better news on UK growth, the OBR 15 years on, and Zack Polanski’s grasp of basic economics... Theme of the Week Labour sources are suggesting that the new Chancellor, John Healey, is set to delay ‘difficult choices’ with a … Continue reading Weekly wrap – Budget fears might ease, but Brexit uncertainty is back
Why raising the personal allowance would be the wrong tax cut
A large increase in the personal allowance would not be a good way to cut taxes, whether the goal is to boost economic growth or to help the poor, and regardless of how it would be financed. There is now remarkably broad support for a large rise in the standard Personal Allowance (PA), which is … Continue reading Why raising the personal allowance would be the wrong tax cut
