5 d. ago Rate cut windfall for VTB may fund Russia’s state defence sector

Every 1 per cent cut in central bank interest rates gives Russia’s VTB Bank an extra 20 billion roubles ($250 million) in net profit, CFO Dmitry Pyanov told Reuters, which benefits the government as the state-owned lender plans to distribute 50 per cent of its profits via dividends – half of it to the state. […]

Politics

5 d. ago UK lenders report surprise rise in mortgages in May, consumer lending cools

The number of mortgages approved by British lenders for house purchases unexpectedly jumped in May, according to Bank of England data that suggested the housing market recovered quickly from the end of a tax break for homebuyers in April. Mortgage approvals rose to 63,032 in May from 60,656 the month before, and confounding the median […]

Politics

8 d. ago Bank of Israel expected to hold rates, August cut seen as likely

The Bank of Israel is expected to leave short-term interest rates unchanged next week but analysts believe a cut is possible as early as August following a swift war with Iran that likely set back the Iranian nuclear programme. Ten of the 11 economists polled by Reuters said the central bank will keep its benchmark […]

Politics

9 d. ago UK interest rates could fall to 2.25 per cent by late 2025, says BoE official

Bank of England policymaker Alan Taylor said on Wednesday that a soft landing for Britain’s economy is now at risk and that economic data had recently argued for five interest rate cuts in 2025 rather than four. “Previously, I had seen a UK soft landing in the cards, with some remaining upside risks to inflation […]

Politics

1 week ago UK economic uncertainty ‘definitely’ hurting growth, says Bailey

Bank of England Governor Andrew Bailey on Tuesday highlighted Britain’s softening labour market and said rising uncertainty in the global economy had “definitely” hurt economic growth and investment intentions. In an interview with CNBC, Bailey said a key question for the BoE was how much the weakening of the labour market and the economy would […]

Economics

2 w. ago Britain’s stats office to overhaul economic data after criticism

Britain’s statistics office will split its leadership and invest more money as part of a push to fix problems with its economic data that have hampered the Bank of England and exasperated private economists. After a string of shortcomings with core figures from the Office for National Statistics, a review published this week called for […]

Economics

2 w. ago BoE policymaker urges patience as UK inflation risks longer plateau

Britain’s recent increase in inflation could prove to be a longer-lasting plateau rather than a short-term hump, and the Bank of England should be careful about reducing interest rates, BoE monetary policymaker Megan Greene said on Tuesday. “I worry about the near-term profile for inflation this year, which in my view now resembles more of […]

Events

3 w. ago Bank of England keeps rates steady, sees further loosening as jobs market weakens

The Bank of England held interest rates at 4.25 per cent as expected on Thursday but said it was focused on risks from a weaker labour market and higher energy prices as conflict in the Middle East escalates. Noting the elevated global uncertainty and persistent inflation, the Monetary Policy Committee voted 6-3 to keep rates […]

Economics

3 w. ago UK inflation slows but oil price jump creates new problem for Bank of England

British inflation cooled in May as expected by the Bank of England, which is set to keep interest rates on hold this week while it assesses international energy markets rocked by escalating conflict in the Middle East. Consumer prices rose in annual terms by 3.4 per cent in May, the Office for National Statistics said […]

Economics

last month Modest UK economic growth to lead Bank of England to cut rates gradually

The British economy will grow a mild 1 per cent this year with the Bank of England set to cut interest rates two more times in 2025, according to economists polled by Reuters, little changed from previous projections despite tariff uncertainty. The survey was completed before finance minister Rachel Reeves’ planned comprehensive spending review on […]

Economics

last month UK pay growth slows as jobless rate rises to highest since 2021

Pay growth in Britain slowed sharply and unemployment rose to its highest in nearly four years in the three months to April, official data showed on Tuesday, potentially making the Bank of England less cautious about cutting interest rates further. Wage growth excluding bonuses slowed to 5.2 per cent, its weakest since the three months […]

Politics