Category: Credit Crunch
Bank Woes – Job Cuts For HSBC And RBS Employees As Profits Dwindles.
The Euro debt crisis appears to be forcing banks to accelerate efficiency savings as profits from investment banking dwindles. The Telegraph reports on job cuts at two of the UK’s leviathon banks, HSBC and RBS. HSBC has long made it clear that thousands of jobs would go, now according to the Telegraph we’re seeing the [...]
EU Raises €3bn From Bond Market To Help Fund Bailout
Europe’s rescue fund has raised €3bn in the bond markets to fund the next tranche of Ireland’s bailout. The money will be handed over to the Government on Thursday. The European Financial Stability Facility (EFSF) was forced to pay slightly more to lenders to make the funds available because of the eurozone’s worsening debt crisis. [...]
Euro zone – The Crisis Continues
With Europe’s banks accounting for almost two thirds of the foreign lending to global emerging markets, the fear is their retrenchment could drain those economies set to provide about 70 percent of world growth next year. This latest so-called “negative feedback loop” from the euro zone sovereign debt crisis is yet another potentially damaging blow [...]
Economic Crisis – China Warns Europe Not To Count On Them For Financial Aid
Hopes that China will ride to the rescue of the single currency were dealt a blow last night after Beijing warned that it will not be Europe’s ‘saviour’. State-run news agency Xinhua said the country cannot ‘provide a cure for the European malaise’. It came after European officials begged China for bailout funds to help [...]
Germans Windfall – £48 Billion “Bonus” Went Undetected Due To Complex Financial System
It is the government equivalent of finding a £10 note down the back of the sofa – a stroke of luck which Chancellor George Osborne would welcome. The Germans are celebrating the discovery of a £48?billion ‘bonus’ lurking undetected in one of its bailed-out banks. The money, which would be enough to build nearly 10,000 [...]
Payday Loans – What We Want vs What We Need
One of the main reasons why many Brits resort to punishingly expensive payday loans is to ensure they don’t ‘miss out on a bargain’, I learned today. Yes, according to payday loan firm Ferratum more and more ‘cash-strapped shopaholics’ are turning to the ‘financial phenomenon’ that is the payday loan to treat themselves to a [...]
New Credit Crunch Fear As Bank Of England Warns Of A Deepening Crisis
Fears of a new credit crunch grew last night after the Bank of England warned of a deepening crisis in small business lending. The Bank said the cost of borrowing in August for firms with an annual turnover of less than £1million was at its highest level since January 2009. Its Trends In Lending report [...]
David Cameron to urge households to pay off debts
David Cameron will urge the country not to become paralysed by gloom and fear even though he will admit the depth of the debt crisis means the good times will be a long time coming. In a delicate balancing act, he will try in his closing speech to the Conservative party conference on Wednesday to [...]
Osborne’s “Credit Easing” Scheme To Help Struggling Firms
Small businesses are to be lent billions of pounds by the Treasury in a dramatic attempt to avert a second, disastrous credit crunch. Chancellor George Osborne yesterday unveiled a ‘credit easing’ scheme which will see the state provide cash directly to struggling firms through a bond scheme. This lifeline was seen as an admission that [...]
Britain Pledges To Veto A £40billion ‘transaction tax’ Plan
Britain has pledged to veto a £40billion ‘transaction tax’ on the City that the EU is planning as a means to make firms repay their debts after receiving huge state support. The UK Treasury said it will ‘resist’ European Commission president Jose Manuel Barroso’s plan to impose a transaction tax on share dealing across the [...]
