{"id":2246,"date":"2021-10-11T11:21:54","date_gmt":"2021-10-11T10:21:54","guid":{"rendered":"https:\/\/new.contentdeployment.co.uk\/tomd\/?p=2246"},"modified":"2022-07-05T14:10:06","modified_gmt":"2022-07-05T13:10:06","slug":"news-in-review-24","status":"publish","type":"post","link":"https:\/\/new.contentdeployment.co.uk\/tomd\/2021\/10\/11\/news-in-review-24\/","title":{"rendered":"News in Review"},"content":{"rendered":"
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\u201c<\/em><\/strong>The global recovery continues, but momentum has\nweakened<\/em><\/strong>\u201d<\/em><\/strong><\/p>\n<\/div>\n\n

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In its latest\nassessment of world economic prospects published on Tuesday, the International\nMonetary Fund (IMF) lowered its 2021 global growth forecast slightly to 5.9%.\nThe international soothsayer also stated that risks to economic prospects have\nincreased, while policy trade-offs have become more complex in the ongoing\npandemic. IMF Chief Economist\nGita Gopinath said, \u201cThe global recovery continues, but momentum has\nweakened, hobbled by the pandemic.\u201d<\/em><\/strong><\/p>\n<\/div>\n\n

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Supply chain adviser appointed<\/strong><\/p>\n<\/div>\n\n

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In the UK, during a week which saw\ncontinuing supply chain disruption and concerns over rising energy costs\nfeature prominently across the news headlines, the Prime Minister appointed\nex-Tesco boss, Sir David Lewis, as Chair of the newly created Supply Chain\nAdvisory Group. The move was welcomed by business leaders, with CBI Director General\nTony Danker describing it as \u201ca positive development which shows the\ngovernment is willing to listen to and work in partnership with business to\ntackle current challenges.\u201d<\/em> <\/p>\n<\/div>\n\n

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Job market recovery continues<\/strong><\/p>\n<\/div>\n\n

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Office for National Statistics\n(ONS) data released on Tuesday reported good news on the jobs front. The latest\nfigures showed the number of payroll employees rose to a record level, while\nvacancies hit another all-time high and unemployment continued to fall. ONS\nDirector of Economic Statistics Darren Morgan said, \u201cThe jobs market has continued to recover with the\nnumber of employees on payroll in September now well exceeding pre-pandemic\nlevels. Vacancies also reached a new one-month record in September, with our\nlatest estimates suggesting that all industries have at least as many jobs on\noffer now as before the onset of COVID-19.\u201d <\/em><\/p>\n<\/div>\n\n

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Other data released last week also\nsuggests the end of the furlough scheme on 30 September is unlikely to have\ntriggered a fresh wave of redundancies. Although around a million workers were\nstill believed to be on furlough when the scheme wound down, data from the\nInsolvency Service shows the number of redundancies proposed by employers in\nSeptember was close to record low levels, with just 13,836 jobs reportedly at\nrisk.<\/p>\n<\/div>\n\n

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Starter salaries increasing<\/strong><\/p>\n<\/div>\n\n

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A survey released last week by the\nRecruitment and Employment Confederation highlighted the impact the current\nrobust demand for workers is having on wages. The survey of 400 recruitment\nfirms found the number of candidates available for jobs stands at a near-record\nlow, with starting salaries for both permanent and temporary staff now rising\nat the fastest rate in the survey\u2019s 24-year history.<\/p>\n<\/div>\n\n

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Separate data from ONS showed that\naverage weekly earnings (excluding bonuses) in the three months to August were\n6.0% higher than in the comparable period last year, down from last month\u2019s\nfigure of 6.8%. ONS, however, again pointed out that the figures are being\ninflated by temporary factors and said their estimate of the current underlying\npace of wage growth is between 4.1% and 5.6%. This compares with growth of\naround 3% just before the pandemic hit.<\/p>\n<\/div>\n\n

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Rate rise speculation<\/strong><\/p>\n<\/div>\n\n

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The increase in employment and\nhigher starter salaries has further raised the possibility that the Bank of\nEngland (BoE) may sanction an interest rate hike sooner than previously\nexpected. The recent tone of the Monetary Policy Committee (MPC) has become\nmore hawkish and last weekend one of its members, Michael Saunders, told\nhouseholds to get ready for “significantly earlier”<\/em> interest\nrate rises as inflationary pressures mount. <\/p>\n<\/div>\n\n

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While the case for a first\npost-pandemic rise has certainly strengthened, the BoE\u2019s new Chief Economist\nand MPC member, Huw Pill, said he still expects rates to remain at relatively\nlow levels. In comments published last Thursday, Mr Pill admitted the \u201cmagnitude\nand duration of the transient inflation spike is proving greater than expected\u201d\n<\/em>but said he expects rates \u201cto remain at relatively low levels for the\ncoming years.\u201d<\/em><\/p>\n<\/div>\n\n

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US Senate averts debt crisis <\/strong><\/p>\n<\/div>\n\n

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In the US last week, the Senate\nvoted to temporarily raise the nation\u2019s debt limit by $480bn, thereby averting\na historic default which analysts said would have devastated the economy. The\nbreakthrough came after weeks of partisan fighting and less than a fortnight\nbefore the US would have been unable to borrow money or pay off loans for the\nfirst time in its history. The bill was approved by 50 votes to 48 following\nRepublican Senate leader Mitch McConnell\u2019s decision to offer his support to the\nshort-term extension. <\/p>\n<\/div>\n\n

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Here to help<\/strong><\/p>\n<\/div>\n\n

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Financial advice is key, so please do not\nhesitate to get in contact with any questions or concerns you may have.<\/p>\n<\/div>\n\n

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The value of investments can go down as well\nas up and you may not get back the full amount you invested. The past is not a\nguide to future performance and past performance may not necessarily be\nrepeated.<\/strong><\/strong><\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

\u201cThe global recovery continues, but momentum has weakened\u201d In its latest assessment of world economic prospects published on Tuesday, the International Monetary Fund (IMF) lowered its 2021 global growth forecast slightly to 5.9%. The international soothsayer also stated that risks to economic prospects have increased, while policy trade-offs have become more complex in the ongoing […]<\/p>\n","protected":false},"author":15,"featured_media":2247,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,112],"tags":[],"hd_content_source":[],"_links":{"self":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/2246"}],"collection":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/comments?post=2246"}],"version-history":[{"count":2,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/2246\/revisions"}],"predecessor-version":[{"id":2249,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/2246\/revisions\/2249"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media\/2247"}],"wp:attachment":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media?parent=2246"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/categories?post=2246"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/tags?post=2246"},{"taxonomy":"hd_content_source","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/hd_content_source?post=2246"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}