Economics / Markets

FSA chairman Lord Turner has warned regulators will have the power to cap mortgages using credit control powers last enforced in the 1980s.

UK public borrowing rose to a record high in August, at £15.9bn, dwarfing the £12.51bn economists had predicted.

The FTSE moved slightly higher in early trading, up 0.45% or 25.45 points to 5,628 amid oil exploration success and M&A activity in the energy sector.

The Republic of Ireland saw its €1.5bn (£1.3bn) bond issue snapped up at auction today, pointing to investor confidence in the strength of the economy.

The recent US downturn, which officially ended in June 2009, has been the longest since the great Depression beginning with the Wall Street crash in 1929.

The Dow Jones has made early gains in trading as investors await the Fed's rate decision tomorrow and a possible extension of its quantitative easing programme.

The UK has maintained its AAA credit rating largely thanks to the austerity measures of the coalition government, although it remains vulnerable over the long term.

Independent City economist Roger Bootle says soaring inflation fears are unfounded and UK CPI will 'collapse' by 2013.

The €440bn European Financial Stability Facility (EFSF) has been given the highest possible ratings by the three main agencies.

Consumers are not reaping the benefits of historically low interest rates as banks look to buffer their capital reserves in light of the financial crisis, says the Bank of England.