Businesses have urged Mark Carney not to raise interest rates this week, warning him that weak growth and higher borrowing costs could push struggling retailers into insolvency. The British Chambers of Commerce said a rate rise could be a "tipping point" that demolishes business confidence and investment. The Institute of Directors said: "There is not enough clarity on the path for economic growth yet."
Philip Hammond is between "a rock and a hard place" for his forthcoming Budget, says the Institute for Fiscal Studies. The think tank said the chancellor may have to scrap his target for getting rid of the deficit if he wants to increase outlay on public services. The Treasury said it would continue to adopt a "balanced approach".
British restaurants are at risk of going bust due to Brexit as accountancy firm Moore Stephens said 20% of outlets, some 14,800, are threatened with closure. Meanwhile, the number of restaurants declaring insolvency has risen by 13% in the year ending March 2017. Profit margins have been squeezed as the fall in the value of the pound saw the cost of imports soar.
Brexit uncertainty means Britain could miss out on hundreds of millions of pounds worth of investment in improving phone signals and mobile internet speeds, says the boss of O2. Mark Evans called on the Government to give more clarity on Britain's split from the EU, adding: "It's not great to say to investors: 'We're not quite sure how this is going to play out, but please continue investing.'"
A demand for "niche drinks" has seen the number of UK wine producers grow by 13% in the last year, reports The Independent. The number of producers in Britain is at a record high, growing from 352 in 2015 to 397 in 2016. A spokesman from accountants UHY Hacker Young said: "It is more of a talking point, more of an event, to order a Welsh wine than French."
"Banking should have been transformed, our international institutions refashioned, inequality radically reversed, and if we are to be properly equipped to face the next crisis this is still the agenda we must pursue." Gordon Brown discusses his failure to rally the nation around the "necessary fiscal stimulus" following the financial crisis.
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