Credit, collections & insolvency news
UK inflation fell to the lowest rate in two years last month, falling to 4.6% in the year to October from 6.7% in September. Economists have said the main reason inflation has fallen from its peak of 11.1 per cent in October 2022 is due to a reduction in the energy price cap, which limits…
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Latest Office for National Statistics (ONS) data has shown that the economy failed to grow in Quarter 3 (Q2). While GDP was up 0.2% in September, growth for August was revised down to 0.1% from 0.2%. With GDP flatlining in Q3, it means the UK has avoided a recession in 2023, with this defined as…
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Allianz Trade has predicted that business insolvencies in the UK are set to increase in next few years. The report anticipates that business insolvencies in the UK will hover around 30% above pre-pandemic levels by 2025, with notable peaks expected in 2024 (29,850 cases i.e. +5%) and 2025 (28,400 cases i.e. -5%). The rise is…
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The UK should still avoid a recession, although GDP growth is set to remain sluggish for the remainder of 2023 and into 2024 amid headwinds from high interest rates and a weaker-than-anticipated labour market, according to the EY ITEM Club’s new Autumn Forecast. Following a better-than-expected start to the year, GDP growth expectations for 2023 have…
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Debt-laden companies across Europe, Middle East and Africa are facing a $500bn refinancing scramble in the first half of 2024. This challenge could lead to the demise of many zombie businesses, despite the expected peak in interest rates offering some relief. The value of company loans and bonds maturing during this six-month period is higher…
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Latest figures from the Office for National Statistics (ONS) has shown that GDP grew 0.2% in August, and 0.3% between June to August. The services sector was the biggest contributor with growth of 0.4%. Consumer services were down 0.6% after a 10.8% fall in sports, amusement and recreation activities. Production output fell 0.7% whilst construction also…
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Financial services activity held relatively firm in Q3 of 2023, despite some softening from a buoyant second quarter. Optimism and business volumes growth were quick in the three months to September, although to a lesser extent than the previous quarter, according to the latest CBI Financial Services Survey. The quarterly survey, found that Financial Services…
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The IoD Directors’ Economic Confidence Index, which measures business leader optimism in prospects for the UK economy, remained subdued at -26 in September 2023, similar to August’s reading of -28. This is the fourth consecutive month in which economic confidence has been relatively low, following a large drop in June. Order books were suggestive of…
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The Bank of England has announced that it has held interest rates at 5.25%, pressing pause on rate hikes after rising relentlessly since December 2021, ending a fourteen-meeting run of rate rises. The.MPC voted 5 to 4 in favour of holding rates steady, with four members preferring a 0.25% rise to 5.5%. Commenting on the…
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Figures from the Office for National Statistics (ONS) showed that prices rose less than expected in August. The annual rate of inflation fell to 6.7% last month, much lower than the rise from 6.8% in July to 7% economists had expected. Core inflation, excluding food, energy, alcohol and tobacco, stood at 6.2% in August, down…
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Bluestone Group has announced that it has agreed terms for the sale of its Irish motor finance operations, Bluestone Motor Finance Ireland (BMFI) to Close Brothers Limited. BMFI was established as a lending platform in 2014, after a period of several years managing acquired portfolios of assets in the Republic of Ireland. After its launch,…
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HSBC and Nova Credit have agreed on a new partnership which will enable newcomers to the UK to leverage their international credit history instantly and free of charge when applying for a credit card. New and existing customers applying for an HSBC UK credit card online can choose to share their credit history from a growing list…
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With the latest labour market statistics, showing a 0.5 percentage point quarterly rise in unemployment in the three months to July, the Institute of Directors is calling on the Bank of England to stop raising interest rates. Kitty Ussher, Chief Economist at the Institute of Directors, said “With today’s data showing a weakening labour market,…
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