Author: Phillip Inman

UK Inflation Update: The UK’s annual inflation rate remained steady at 2.2% in August, just above the Bank of England’s target of 2%. The Office for National Statistics reported that this was due to consumers cutting back on big-ticket purchases, keeping the cost of living in check. City economists had predicted this increase accurately, as inflation has decreased from over 10% in 2023. The Bank of England had forecasted a slightly higher rise in the consumer prices index (CPI), at around 2.4%. Despite pressure to cut interest rates to stimulate growth, officials are expected to keep rates unchanged during their…

The UK workforce has experienced its largest contraction since the 1980s, resulting in a loss of at least £16 billion in tax revenue annually, according to a recent study by the Institute for Employment Studies. Hundreds of thousands of individuals have left the labor market due to the pandemic, leading to a participation crisis with 800,000 fewer people employed or actively seeking work. This decline has cost the economy £25 billion in potential growth and £16 billion in tax receipts. Various factors contribute to this crisis, including government employment reforms that impose strict conditions on job seekers. This has discouraged…

Labour is set to shake up the private pensions industry with wide-ranging reforms aimed at boosting investments and increasing pension pots. A taskforce of industry executives and government officials will propose measures to cut costs, improve investment options, and potentially increase retirement savings by up to £11,000. The review will also explore simplifying investment strategies for pension funds to encompass more UK businesses, signaling a significant overhaul in the industry. The push for reform comes amidst plans for a £7bn national wealth fund and economic improvements to drive growth. Led by pensions minister Emma Reynolds, the review aims to merge…