UK

The nationalisation and resale of Northern Rock will rake in a profit of up to £11bn for UK taxpayers, it was announced today.

Income investors enjoyed a bumper year in 2011 as dividends from UK-listed companies hit an all-time high, surging 12.8% to £67.8bn.

Mining company Xstrata has formally announced its intention to merge with Glencore, the world's largest commodities trader, creating a commodities 'powerhouse'.

Britain is not "walking away" from Europe, but safety measures must be put in place for EU countries that are outside the single currency, said Prime Minister David Cameron.

The International Monetary Fund (IMF) has slashed its growth forecasts for a number of major European economies for 2012 due to ongoing concerns about the region's recovery.

International investors are buying record amounts of UK government bonds as the Bank of England's £75bn QE programme spurs demand, with the yield on the ten-year gilt hitting a new record low.

UK unemployment rose by 128,000 in the three months to October to 2.64 million, the highest level since 1994.

Economic growth in the UK will be subdued and output will fail to reach 2008 levels until 2013, according to the National Institute for Economic and Social Research (NIESR).

Mark Barnett, manager of the Invesco Perpetual UK Strategic Income fund, on why investors should not dismiss the out-of-favour UK equity market.

The Office for Budget Responsibility has revised public sector net borrowing forecasts even as Chancellor George Osborne proclaims the effect of falling gilt yields.