Business, Stock markets, Currencies, Commodities, Economics Business | The Guardian
Retailers blame poor weather and economic conditions for sales drop; government borrows £14.5bn in JuneBusinesses including banks, airlines, telecommunications companies, TV and radio broadcasters, and supermarkets have been taken offline after blue screen of death error screens were seen on Windows workstations across the globe.Users on the subreddit for cyber security firm Crowdstrike reported issues in India, the United States and New Zealand.The public finances data tends to be prone to revision, so the picture for the start of fiscal year 2024-2025 could look different in a few months’ time. But as things stand, the EY Item Club thinks this underperformance is likely to persist. The OBR’s assumptions for gilt yields and Bank Rate look too low, and this suggests debt servicing costs will prove to be higher than they expect. This is likely to mitigate the reduction in borrowing caused by a significant tightening in fiscal policy.Looking further ahead, the EY Item Club awaits the new chancellor’s first budget with interest. Maintaining the net debt rule will mean that, in the absence of forecast revisions from the OBR, the new government will face a similar need to consolidate to their predecessors. It looks likely that the freeze on most tax allowances will be maintained for at least the next three fiscal years. However, it may prove challenging to turn existing spending totals into department-by-department plans, both in terms of current and capital spending. Continue reading…
Retailers blame poor weather and economic conditions for sales drop; government borrows £14.5bn in June
Businesses including banks, airlines, telecommunications companies, TV and radio broadcasters, and supermarkets have been taken offline after blue screen of death error screens were seen on Windows workstations across the globe.
Users on the subreddit for cyber security firm Crowdstrike reported issues in India, the United States and New Zealand.
The public finances data tends to be prone to revision, so the picture for the start of fiscal year 2024-2025 could look different in a few months’ time. But as things stand, the EY Item Club thinks this underperformance is likely to persist. The OBR’s assumptions for gilt yields and Bank Rate look too low, and this suggests debt servicing costs will prove to be higher than they expect. This is likely to mitigate the reduction in borrowing caused by a significant tightening in fiscal policy.
Looking further ahead, the EY Item Club awaits the new chancellor’s first budget with interest. Maintaining the net debt rule will mean that, in the absence of forecast revisions from the OBR, the new government will face a similar need to consolidate to their predecessors. It looks likely that the freeze on most tax allowances will be maintained for at least the next three fiscal years. However, it may prove challenging to turn existing spending totals into department-by-department plans, both in terms of current and capital spending.