According to the latest bank lending survey from the European Central Bank (ECB), the eurozone saw a “surge” in banks tightening up their credit standards in the final quarter of 2011. Both loans to non-financial corporations and loans to households for house purchase came under greater scrutiny, as did consumer credit, but to a lesser [...]
The Reserve Bank of New Zealand has decided to leave the Official Cash Rate (OCR) unchanged at 2.5%. Governor Alan Bollard said that sentiment in the financial markets had marginally improved during the last month, but warned that the global economy was still fragile. Governor Bollard added that the cost of international funding had increased [...]
The Policy Board of the Bank of Japan has announced that it has decided to leave rates unchanged at between 0% and 0.1%. The decision, which was unanimous, comes as the appreciating yen and slowing overseas economies led to Japan’s economic activity being approximately flat. Domestic demand has risen, but exports and production are essentially [...]
Growing pessimism about household finances means that almost a third of Britons expect to cut back on their spending this year, according to new research by Ipsos MORI for the Resolution Foundation. In addition, around a quarter (23%) of adults questioned see their household finances worsening in 2012, with those on low to middle incomes [...]
An EU-wide investigation of websites offering credit cards and other consumer credit has resulted in 70% (393) of sites examined being referred for further investigation. Checks took place to see whether consumers are receiving the right information under EU law before signing a consumer credit agreement. They focused in particular on the Consumer Credit Directive, [...]
The Governing Council of the European Central Bank (ECB) has announced that the single currency’s interest rate has been left unchanged at the record low of 1%. The announcement was made following the decision by the Bank of England to leave the United Kingdom’s rates as they were, at 0.5% (also a record low). Growth [...]
The Monetary Policy Committee (MPC) of the Bank of England has today decided to leave unchanged the UK’s interest rate at the record low of 0.5%. The scale of the quantitative easing asset purchase scheme has also been left unchanged, at £275bn. The MPC has also stated that the scheme is expected to run its [...]
The Policy Board of the Bank of Japan has announced that the nation’s interest rate is to be left unchanged at between 0% and 0.1%. The decision was made unanimously, and comes as the Japanese economy’s recovery pauses due to the yen’s appreciation and the slowing of economies overseas. Annual CPI (less fresh food) has [...]
The Governing Council of the European Central Bank (ECB) has announced that the single currency’s interest rate has been reduced by 25 basis points to 1%. This means that the eurozone’s interest rate has returned to the record low first reached in the wake of the financial crisis, after two rate rises earlier in the [...]
The Monetary Policy Committee (MPC) of the Bank of England has decided to leave unchanged the United Kingdom’s interest rate at the record low of 0.5%. The MPC also elected not to alter the scale of the quantitative easing asset purchase scheme (effectively printing money) from its present size of £275bn. The MPC announced that [...]
The Reserve Bank of New Zealand has announced its decision to leave the Official Cash Rate (OCR) unchanged at 2.5%. Governor Alan Bollard stated that global economic conditions have deteriorated, with financial markets becoming more volatile as the eurozone sovereign debt crisis continues and worsens. Bollard went on to say that the future of the [...]
The Government is considering scrapping the Mortgage Interest Direct Scheme whereby homeowners in receipt of Support for Mortgage Interest (SMI) have their benefit paid direct to lenders. SMI helps people who are faced with selling their home or having it repossessed as a result of losing work. Minister for Welfare Reform, Lord Freud, wants the [...]
The “zombie” debtor has been identified in new research from insolvency trade body, R3. The term applies to those who currently only pay the interest on their debt, and according to the firm’s latest Personal Debt Snapshot, one in six respondents were worthy of the name. Eleven per cent of zombie debtors were servicing credit [...]
The Reserve Bank of Australia has announced that it has cut the country’s interest by 25 basis points, to 4.25%. Governor Glenn Stevens said that whilst some aspects that had slowed economic growth had passed others, notably in Europe, were adversely affecting trade in Asia. The governor went on to say that further slowing of [...]
In its latest Financial Stability Report, the Bank of England’s interim Financial Policy Committee (FPC) says it wants banks to limit dividends and bonuses if their earnings are insufficient to build up capital levels. Banks should also give “serious consideration” to raising external capital. Sovereign and banking risks from the euro area having intensified since [...]
The Bank of England, the Bank of Canada, the Bank of Japan, the European Central Bank, the Federal Reserve, and the Swiss National Bank have announced coordinated actions to improve liquidity and ease strains in the financial markets. Actions include lowering the pricing on the existing temporary US dollar liquidity swap arrangements by 50 basis [...]
Chancellor of the Exchequer, George Osborne, has revealed that the Government’s credit easing scheme will underwrite banks loans of up to £40 billion to Britain’s smaller businesses. Speaking on BBC 1′s Andrew Marr Show, the Chancellor explained that underwriting the loans will mean that companies with turnover of less than £50 million should be able [...]
The Office of Fair Trading (OFT) has published fresh guidance for credit brokers and intermediaries, following a number of complaints. The new rules are designed to tackle unfair practices including: 1. Charging up-front fees and then not delivering the promised service. 2. Unauthorised debiting of customer accounts. 3. Inappropriately asking customers to use premium rate [...]
The Government yesterday unveiled a new housing strategy which promises to break the current cycle in which “lenders won’t lend, builders can’t build and buyers can’t buy”. At the heart of the strategy are plans for a new-build mortgage indemnity scheme that could give a helping hand to up to 100,000 prospective buyers currently frozen [...]
