INDUSTRY NEWS

MPC notes ‘unusually sharp downturn’

The Bank of England’s Monetary Policy Committee (MPC) has observed an “unusually sharp and synchronised downturn” in the world economy.

In its discussions before yesterday’s historic base rate cut, the MPC predicted world trade growth would be the weakest for some time.

Bankers and investors in offices in London are this morning coming to terms with the MPC’s decision to drop rates a further half point.

Banks are warning the reduction will make it difficult for them to maintain their own balances.

Mortgages director at Legal and General, Ben Thompson, has said without deposits the banks are in trouble.

“What lenders need more than ever are savers’ deposits – and they are not going to get them if they can offer only paltry rates of interest.”

The capital is home to the Bank of England, Lloyds TSB, HSBC and a number of other banking giants with offices in London.
ADNFCR-1329-ID-18964868-ADNFCR

One thought on “MPC notes ‘unusually sharp downturn’

  1. I know this if off topic but I’m looking into starting my own blog and was curious whatall is needed to get setup? I’m assuming having a blog like yours wouldcost a pretty penny? I’m not very web smart so I’m not 100 sure.Any suggestions or advice would be greatly appreciated.Thanks

Leave a Reply

Your email address will not be published.