BoE

UK economic prospects for 2009 have ‘worsened' and the Bank of England and Government need to act proactively to counter threats to growth, the British Chambers of Commerce (BCC) warns.

The Treasury is set to give the go-ahead for a Government-backed plan to help mortgage companies start lending again in the wake of the credit crunch, The Telegraph reports.

The Bank of England's Monetary Policy Committee faces one of its most difficult decisions over interest rates today, as calls grow for a cut to kick-start lending, despite inflationary pressures, The Telegraph reports.

The Bank of England is now odds-on to cut interest rates next week, experts said, after new figures indicated that the economy is at its weakest in five years and that the mortgage drought is set to worsen, The Telegraph reports.

The Bank of England's Monetary Policy Committee (MPC) voted seven to two to keep interest rates at 5.25% earlier this month as inflation risks escalate.

The biggest investor in Northern Rock, SRM Global, is preparing to launch legal action against the government and regulators this week over their role in the collapse of the nationalised bank, according to The Guardian .

The Bank of England (BoE) warns inflation is set to "rise sharply" in the near term and there is nothing the Monetary Policy Committee (MPC) can do about it.

The Chancellor is clearing the ground for new regulations on financial markets in the wake of the credit crunch, pledging to create a "gold standard" to judge the quality of key asset-backed securities, The Telegraph reports.

The financial services industry has welcomed a consultation on proposals to improve the systems currently in place when banks run into trouble.

Fears that Alliance & Leicester may have to seek emergency funds from the Bank of England circulated in the City last night as ratings agency Standard & Poor's said the bank could suffer from the lending freeze that triggered Northern Rock's downfall,...