{"id":3082,"date":"2021-11-24T10:31:27","date_gmt":"2021-11-24T10:31:27","guid":{"rendered":"https:\/\/new.contentdeployment.co.uk\/tomd\/2021\/11\/24\/news-in-review-32\/"},"modified":"2022-07-05T14:10:06","modified_gmt":"2022-07-05T13:10:06","slug":"news-in-review-32","status":"publish","type":"post","link":"https:\/\/new.contentdeployment.co.uk\/tomd\/2021\/11\/24\/news-in-review-32\/","title":{"rendered":"News In Review"},"content":{"rendered":"
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\u201cIf we are serious about going for growth, then 2022 has\nto be a year of detail and delivery\u201d <\/em><\/strong><\/p>\n<\/div>\n\n

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During a\nweek which saw the government confirm it was cancelling the Leeds leg of the\nHS2 high-speed rail line, the Confederation of British Industry (CBI) said more\nneeded to be done to end the North-South divide and ensure economic growth was\nevenly spread around the UK. Speaking in South Shields during the CBI\u2019s annual\nconference, the business group\u2019s Director General Tony Danker said, \u201cbenign\nneglect\u201d<\/em>\u202fin parts of the country\u202fover decades had led to a \u201cbranch line\neconomy\u201d<\/em> and warned that levelling up could not be left to the free market\nalone. <\/strong><\/p>\n<\/div>\n\n

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The\nPrime Minister also addressed the conference on Monday, speaking about his\ngreen industrial revolution. Responding to Mr Johnson\u2019s speech the CBI Director\nGeneral said, \u201cBy making decarbonisation one of our economy\u2019s big bets for\ngrowth, we can create the high value sectors, firms, skills and investment\nneeded to level up the economy.\u201d<\/em> Mr Danker added, \u201cIf we are serious\nabout going for growth, then 2022 has to be a year of detail and delivery.\u201d <\/em><\/p>\n<\/div>\n\n

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Input prices hit fresh high<\/strong><\/p>\n<\/div>\n\n

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A closely-watched\nsurvey released on Tuesday suggests the UK economy continued to grow in November. The\npreliminary reading of the IHS Markit\/CIPS Composite Purchasing Managers\u2019 Index\n(PMI) dipped to 57.7, marginally down from October\u2019s final figure of 57.8. With\nany value over 50 representing expansion, this latest reading does indicate a\nstrong rise in private sector output. <\/p>\n<\/div>\n\n

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The PMI survey also\nreported record cost pressures, with input\nprice inflation rising at the fastest rate since the Index began in 1998,\nfuelled by higher wages and a spike in prices paid for fuel, energy and raw\nmaterials. This prompted IHS Markit\nChief Business Economist Chris Williamson, to suggest the survey\u2019s findings pave the way for a rate\nhike when the Monetary Policy Committee next\nconvene in mid-December.\nMr Williamson said, \u201cA combination of sustained buoyant business growth,\nfurther job market gains and record inflationary pressures gives a green light\nfor interest rates to rise in December.\u201d <\/em><\/p>\n<\/div>\n\n

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Rate decision \u201cfinely balanced\u201d<\/em><\/strong><\/p>\n<\/div>\n\n

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Speaking before release of the PMI data, however, two key Bank of\nEngland officials cast doubt on the\ncertainty of a December rate rise. Governor Andrew Bailey told the Sunday Times\nthat risks to the economy remain \u201ctwo-sided\u201d<\/em>  with slowing growth and rising inflation. Two\ndays earlier, at a conference in Bristol, the Bank\u2019s Chief\nEconomist Huw Pill had admitted the weight of evidence was shifting towards a rate\nincrease but noted that the decision would be \u201cfinely balanced\u201d.<\/em> Mr\nPill added, \u201cI genuinely do not know today how I will vote.\u201d <\/em><\/p>\n<\/div>\n\n

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Retailers enjoy early Christmas cheer\n<\/strong><\/p>\n<\/div>\n\n

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Official data\nreleased last Friday showed retail sales grew more strongly than expected in\nOctober, following five consecutive months posting no growth at all. In total,\nsales volumes rose by 0.8%, with the clothing and toy sectors being the key\ndrivers of growth. The latest GfK Consumer Confidence Index, released the same\nday, also brought welcome cheer to retailers preparing for Christmas, with\nNovember\u2019s headline figure rising for the first time in four months. <\/p>\n<\/div>\n\n

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Commenting on the\nretail sales data, British Retail Consortium Chief Executive Helen Dickinson\nsaid, “Retailers will be relieved by the improvement in sales as they\nenter the final straight in the run up to Christmas. Retailers are hopeful that\ndemand will continue right through the golden quarter, however, challenges\nremain, with higher prices looming and many households facing rising energy\nbills.” <\/em><\/p>\n<\/div>\n\n

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B<\/strong>orrowing down\nless<\/strong> than expected<\/strong><\/p>\n<\/div>\n\n

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Public sector\nfinance statistics for October, also published on Friday, showed borrowing fell\nby less than analysts had predicted, with rising debt interest payments and the\ncost of the COVID vaccination programme offsetting higher tax receipts. In\ntotal, the government borrowed \u00a318.8bn last month, just \u00a3200m below the figure\nrecorded in October 2020 and \u00a35bn more than the consensus forecast in a Reuters\npoll of economists. Despite the relatively disappointing monthly data, overall\nborrowing in the current fiscal year to date remains over \u00a3100bn lower than\nlast year\u2019s comparable figure. <\/p>\n<\/div>\n\n

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Attempts to lower oil prices<\/strong><\/p>\n<\/div>\n\n

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The UK is set to release up to\n1.5m barrels of oil from its strategic reserves, joining the US, China, India,\nJapan and South Korea in an attempt to bring down energy and petrol prices\nafter Opec+ agreed to only increase production gradually. <\/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":"

\u201cIf we are serious about going for growth, then 2022 has to be a year of detail and delivery\u201d During a week which saw the government confirm it was cancelling the Leeds leg of the HS2 high-speed rail line, the Confederation of British Industry (CBI) said more needed to be done to end the North-South […]<\/p>\n","protected":false},"author":12,"featured_media":3308,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[32,112],"tags":[],"hd_content_source":[116],"_links":{"self":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3082"}],"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\/12"}],"replies":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/comments?post=3082"}],"version-history":[{"count":2,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3082\/revisions"}],"predecessor-version":[{"id":3310,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/posts\/3082\/revisions\/3310"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media\/3308"}],"wp:attachment":[{"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/media?parent=3082"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/categories?post=3082"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/tags?post=3082"},{"taxonomy":"hd_content_source","embeddable":true,"href":"https:\/\/new.contentdeployment.co.uk\/tomd\/wp-json\/wp\/v2\/hd_content_source?post=3082"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}