Weekly Digest – 18 September 2018

Welcome to our Weekly Digest – stay in the know with some recent news updates relevant to business and the economy.

Business investment and labour supply is priority for the UK’s economic growth

The UK economy is gathering pace after a spell of weak growth in the context of challenging economic conditions around geopolitical tensions, elevated inflation and rising interest rates. A comprehensive reform agenda is needed to sustain the momentum and stimulate medium-term growth, according to the latest OECD Economic Survey of the United Kingdom.

Vodafone and Three merger: What the experts say after competition watchdog’s warning

Despite the UK competition authority voicing new apprehensions about the proposed £15bn amalgamation of Vodafone and Three’s UK operations, market experts have indicated that the outcomes of the recent inquiry appear more favourable than anticipated.

Check you’re not missing State Pension payments

Thousands of people missing Home Responsibilities Protection on their National Insurance record could boost their State Pension during Pensions Awareness Week.

UK economy stagnates unexpectedly in growth challenge for new government

Britain’s economy stagnated for a second month running in July as manufacturing output dropped sharply, an inauspicious start for the new government of Prime Minister Keir Starmer who wants to accelerate the pace of growth.

Here’s why the latest UK economic trends are troubling

Troubling signs are emerging for small businesses in the UK, and by extension, the country’s broader economy, according to Mark Morris.

Bank of England eyes growth with lighter bank capital reforms for UK lenders

The Bank of England aims to roll out revised new rules on how much capital UK banks must set aside to cope with future crises, as it juggles efforts to shock-proof lenders while supporting growth and without hurting their global commercial interests.

Services’ grip on UK economy tightens as manufacturing share ebbs further

Britain’s shift towards a services-dominated economy is accelerating, pushing manufacturing’s share of economic output to a historic low and setting the nation apart from its global peers.

Businesses are still struggling to access labour and skills

Commenting on this morning’s release of labour market data, Alexandra Hall-Chen, Principal Policy Advisor for Employment at the Institute of Directors, said: “While the number of vacancies has reduced for the 26th consecutive quarter, for those employers looking to hire the decrease in the unemployment rate means that they are still struggling to access the labour and skills they need to grow and thrive.

Bank of England expected to pause interest rate cuts amid continued caution

The Bank of England may hold off on further interest rate cuts, cautioning that it must be “careful” not to act too quickly as inflationary pressures persist. Experts predict the Bank’s rate-setting committee will likely maintain UK interest rates at 5% this week.

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