United Kingdom
Bank of England raises bank rate by 0.25%
The Monetary Policy Committee (MPC) of the Bank of England voted on 5 July to raise the official bank rate by 0.25% to 5.75%. The previous change in bank rate was an increase of 0.25% to 5.5% on May 10 this year.
FSA report pans sub-prime lenders
A report issued by the Financial Services Authority (FSA) in the United Kingdom adopts a highly critical stance with respect to sub-prime mortgage lenders and advisers. The report says that these parties have failed in their responsibilities to…
BoE's Gieve: London's City will prosper
Sir John Gieve, a deputy governor of the Bank of England, discussed London's growth as an international financial centre, its effect on financial innovation and the impact of growth in money and credit for the UK economy.
Bank of England MPC members explain decisions
The testimonies of individual members of the Bank of England's rate-setting monetary policy committee (MPC) before the Treasury select committees on 28 June, provided some clues as to the timing of further tightening.
BoE annual report
The Bank of England (BoE) published its 2007 annual report on 25 June. Highlights include a 77% rise in the bank's annual profit in the last financial year and the launch of the Adam Smith £20 note.
Bank of England losing economists to the City
The annual report of the Bank of England, published on 25 June, acknowledged concerns about the departure of some of the central bank's economists, seduced away from Threadneedle Street by the promise of higher pay in the financial service sector.
FSA's hedge fund supremo changes sides
The British Financial Services Authority has seen a number of its senior regulators leaving to join the ranks of the regulated, and the latest is Chris Rexworthy, who was responsible for setting up the Authority's hedge fund practice.
BoE's governor blames banks for £5 note shortage
Mervyn King, governor of the Bank of England, criticised the short supply of "fivers" in his annual Mansion House speech on 20 June.
Reaction to King's loss of MPC vote
Less of a threat to the governor's credibility and more a sign of what is to come, was the conclusion observers drew from Mervyn King being in the minority at the MPC meeting in June.
King outvoted over rates increase again
The Monetary Policy Committee (MPC) of the Bank of England narrowly defeated governor Mervyn King at their policy meeting in June, voting 5-4 to keep the rate unchanged at 5.5%. This was the second time that the governor was on the losing end of an MPC…
Bank of England Quarterly Review
As well as regular features, the second bulletin of 2007 includes an article analysing public attitudes to inflation and interest rates, in particular the pick-up in the general public's inflation expectations between 2005 and 2006.
The political economy of the MPC - Tucker
In this keynote address to a conference on "Inflation Targeting, Central Bank Independence and Transparency" at the University of Cambridge, Paul Tucker, a member of the Bank of England's Monetary Policy Committee (MPC), discusses the political economy…
Brown promises transparency on MPC appointments
Gordon Brown, Britain's Prime Minister designate, has vowed to make the process of appointing the Bank of England's Monetary Policy Committee members more transparent, including an open invitation to candidates.
Conservatives want one-term limit for BoE governor
Britain's opposition Conservative Party is considering a one-term limit for the governor of the Bank of England, a policy that would mark the biggest change in the framework for monetary policy since the bank was made independent in 1997.
FSA warns on private equity
The British Financial Services Authority (FSA) has voiced concerns over the "excessive level" of debt private equity firms use to buy out public companies.
King warns on inflationary pressures
Mervyn King served notice that rates may have to rise even though the Bank of England sees inflation as likely to drop back this year from March's breach of the 3% target.
Bank of England maintains bank rate at 5.5%
The Bank of England's Monetary Policy Committee (MPC) has voted to maintain the official bank rate paid on commercial bank reserves at 5.5%.
UK's Blanchflower explains voting behaviour
In a speech on 30 May David Blanchflower, member of the Bank of England's Monetary Policy Committee, said that he voted to raise rates for the first time since joining the MPC in June 2006 because he wanted to indicate to the public the Bank's intention…
FSA issues hedge fund guidelines
In the latest development surrounding the regulation of hedge funds, the British Financial Services Authority (FSA) has issued guidelines clarifying its approach in four important areas of hedge fund regulation.
The future of UK regulation
In this speech, Dan Waters, director of Retail Policy at the Financial Services Authority, provides an overview of the main principles and applications of the authority's much-praised "principles-based" supervision.
BoE contemplated 0.5% rate hike
The Bank of England considered raising interest rates by 50 basis points at the Monetary Policy Committee meeting of 9-10 May, the meeting's minutes showed.
FSA's inaction on split caps chided
The UK's Financial Services Authority (FSA) has been criticised for closing a five-year investigation into the split capital investment trust scandal without taking action against any individuals or firms.
ECB head says UK should join eurozone
Jean-Claude Trichet, president of the European Central Bank, questioned the UK's refusal to join the eurozone, in an interview in the Financial Times on 17 May.
Bank of England Inflation Report, May 2007
The Bank of England published its May 2007 Inflation Report on 16 May. At a press conference BoE governor Mervyn King signalled interest rates may have to increase again to bring inflation back to target.