Why is the PE $ still so disliked by UK media?

By Clotilde Gros Since the start of the year, private equity firms have announced 124 deals for UK companies (both takeovers and minority stakes) with a combined value of £41.5bn (source: Dealogic). That was the highest value of deals by this point in the year since the data company started tracking transactions in 2005.  That is…

How crypto got a global status

By Ian Silvera Bitcoin isn’t yet a teenager. It turned 12 in January, having been created in the aftermath of the 2008 financial crisis, with The Times headline “Chancellor on Brink of Second Bailout for Banks” time stamped inside the first (genesis) block in 2009. It didn’t really gain much traction beyond Californian-based boffins until…

Economy bouncing back, but not yet all the way back

By Fraser Raleigh The UK economy took another step towards recovery today, with the news that GDP increased by 4.8% between April and June. The figures for the second quarter were driven by an increase in consumer spending, as lockdown restrictions across the UK were gradually eased and the economy re-opened over the spring and…

Is continued Quantitative Easing stoking the inflationary fire?

By George Esmond Easing coronavirus restrictions may be the country’s main concern, but there is a monetary worry that is the primary cause of unease for a number of senior economists. This week the Economic Affairs Committee for the House of Lords released its latest report under the pejorative headline – Quantitative Easing (QE): A…

Quantitative Easing – universal panacea or addictive painkiller?

By Adam Lloyd In November the Bank of England (BoE) announced a further £150 billion of Quantitative Easing as part of the wider economic response to the pandemic, taking the total amount of QE since the financial crisis to a whopping £895 billion. That is the amount of freshly printed money that has been specifically…

Who pays for Lockdown?

By Adam Lloyd, Capital Markets The economic impact of the lockdown has been profound with the unemployment rate growing to 4.5% in the three months to August. According to the ONS, an estimated 1.5 million people were unemployed between June and August and the outlook is looking pretty grim with some forecasts suggesting that unemployment…

Death, taxes, damned lies and statistics

By Charles Ansdell, Managing Partner Americans are always fascinated by Britain’s choice to elect Clement Atlee over Winston Churchill at the end of WWII. How could Britain’s iconic war leader – voted the Greatest Ever Briton in 2002 by the eponymous TV series – be cast aside? But Clement Atlee was the man that Britain…

A humble Chancellor states the obvious

By Simon Gentry, Newgate Public Affairs The woeful economic figures from yesterday and the revelation that the economy shrank a staggering 20.4% between April and June compared with the first three months of the year prompted an unusually humble admission from the Chancellor today. Rishi Sunak admitted what we all know when he said that…

Sunak’s Summer Economic Statement

Rishi rides to the rescue (Part 2 of 3) Fraser Raleigh writes about the Chancellor’s approach to the ‘mini budget’ The Chancellor, Rishi Sunak, today returned to the Commons to set out part two of his three part series to respond to the evolving challenge of COVID-19: protection, jobs and rebuilding. If part one – protection…

Key measures in today’s Summer Economic Update at a glance

Compiled by Newgate Public Affairs Employment and skills  The Chancellor announced that his plan is designed to support jobs by focussing on skills, create jobs with investment and protect jobs through tax cuts. The key initiatives on supporting jobs are as follows: End of furlough: Confirmation that the furlough scheme will end in October. Job Retention…