UK government details loans under RBS insurance scheme
The UK government has today issued details of the Royal Bank of Scotland's participation in the asset protection scheme and there is some concern about the make-up of the loans in question. More than half of the £280 billion of loans in the scheme have been agreed with foreign entities, something which is causing concern within the UK government. In reality, the UK taxpayer is paying to ensure loans which were agreed with foreign entities.
The massive document which details the RBS participation in the scheme also confirms that the UK government has the power to "parachute in" experts if it believes that the loans in question are not being managed correctly. Nobody quite expected the amount of detail which has been published and indeed there will be some embarrassment to those involved in the loans in question.
The Royal Bank of Scotland's entry to the scheme is funded by the UK taxpayer and will see the government's share stake in the business increase from 70% to 84%. It is also believed that the UK government has obtained the authority to block any staff bonus payments from Royal Bank of Scotland although whether this particular power will be used in the short to medium term is open to debate.
Swine flu fears hit the market
Stock markets around the world fell today in light of the outbreak of swine flu which has escaped from Mexico to countries as far away as New Zealand, Canada, Scotland, Israel and the United States of America. While we have seen potential pandemics come and go there are many experts who believe this particular outbreak has the potential to impact upon not only for the worldwide economy but the wor...Read More
If consumers are struggling who will bail out the UK?
As the UK economy continues to struggle many analysts are now reviewing their figures after a suggestion that UK consumers are not willing to spend their way out of the ongoing troubles. Not only did we see some difficult GDP (Gross Domestic Product) figures this week but we also saw that UK consumers are not flocking to the high street despite massive discounts and promotional offers ahead of the...Read More
Postal union members vote in favour of pay deal
In a surprise development it has been announced that the Post Office and the Communication Workers Union have finally come to an agreement regarding pay and working conditions for the future. Members of the union accepted the offer on a basis of 2 to 1 which will see a three-year wage rise of 6.9%, increased job security and above all an improvement in industrial relations between the two parties....Read More
UK trade gap narrows in November
Figures from the Office for National Statistics show that the UK trade gap with the rest of the world narrowed from £7 billion in October to £6.8 billion in November. Analysts had been expecting a figure of around £7 billion so the reduction in the gap has been well received. But what does this mean for the UK economy? It is interesting to see that exports increased by 0.1% during November w...Read More
Is the voice of the UK government weakening on the world scene?
As we approach the London G20 meeting there are serious concerns that the UK government is losing its power on the world scene and other governments around the world are "doing their own thing". Despite initially receiving substantial interest and support from other governments around the world for their massive stimulus package it would appear that many governments are looking towards the regulat...Read More