ICYMI, here’s a summary of my comments on X (formerly Twitter) on today’s Bank of England announcement… The Bank of England’s decision to cut interest rates by ¼% to 4½% was welcome but completely overshadowed by a gloomy set of forecasts. The MPC has been forced to act because the UK economy is crashing. The … Continue reading Crashing UK economy needs lower rates
Tag: OBR
Can Rachel Reeves get growth back on track?
The Chancellor’s big growth speech on Wednesday morning was so widely trailed that it contained few surprises. But it was still the clearest and most coherent statement of her economic philosophy and plans, so far. Before diving into the detail, it is only fair to welcome the change of tone. It has been refreshing to … Continue reading Can Rachel Reeves get growth back on track?
Are the IMF’s latest forecasts really “good news for Rachel Reeves”?
Frankly, I would prefer to ignore the economic forecasts from the IMF, or other multinational organisations like the OECD, because they add little value. However, the latest numbers for the UK have been trumpeted as a big win for the government, and for the embattled Chancellor in particular, as part of what appears to be … Continue reading Are the IMF’s latest forecasts really “good news for Rachel Reeves”?
Is there hope for Britain’s economy in 2025?
In the memorable words of one official statistician, Britain’s economy was “going gangbusters” at the beginning of 2024. Unfortunately, last year appears to have ended with a whimper. The best hope now is that this pattern will be reversed in 2025, with a sluggish start giving way to a strong and sustained recovery. But the … Continue reading Is there hope for Britain’s economy in 2025?
Plain-speaking Economics 