Markets plunged yesterday as investors panicked that money printing is coming to an end before economic growth is fully back on track. Shares, bonds and commodities all saw big sell-offs across the UK, Europe, US and Asia with investors favouring cash to other assets. Page 1, City AM.
A leading Bank of England official has warned that Britains’ recovery is trailing behind that of America and that monetary policy probably will have to be kept loose for longer, as he played down the significance of recent stronger economic data. Page 37, The Telegraph.
Boris Johnson argues that London needs a new round of investment in infrastructure, housing and tansport if the City is to cope with a population approaching 10m by the 2030s. The London Mayor has launched his long-term strategy for the City, Vision 2020. Page 3, Financial Times. Page 5, City AM.
A third of the so-called “sandwich generation” are struggling with basic living costs and more than are fifth are in debt as they find it difficult to cope financially. These are people who are having to juggle the obligations in their lives, caring for both older and young family members simultaneously. Research from the Money Advice Service shows that 10% of the adult population are sandwich carers – 4.7 million adults. Page 38, The Daily Mirror.
Employment, HR and Recruitment
Britains’ workers have suffered more financial pain in 2008 than in any five year period of the modern age, according to research by a leading think-tank. The institute of Fiscal Studies says that workers have had to bear unprecedented pay cuts of 6% in real terms over the last five years. Page 3, The Guardian. Productivity is suffering as workers endure sharp pay cuts. Page 25, The Independent. Page 6, The Telegraph.
Allister Heath explains that Generation Rent is being hit by the average rent in England and Wales rising 3.9 pc on last year but that private sector wages are have not gone up. He argues that the answer to controlling rent is to allow for the building of far more private homes. Page B2, The Daily Telegraph.
Small stores are losing out most as shoppers demand to pay by card: over one third of British shoppers avoid businesses that fail to take card payments, or specify a minimum payment according to Santander and iZettle. Pahe 18, City AM.