Osborne to extend Funding for Lending Scheme

Savers suffer as savings accounts are withdrawn_istockphotoThe Chancellor, George Osborne, may be looking to extend the Funding for Lending Scheme (FLS), after pressure from the International Monetary Fund (IMF) over his austerity plans. The existing FLS is due to come to an end at the start of 2014, however an announcement about the possible extension of the scheme is expected before the IMF are due to visit next month. Since the FLS was introduced in August last year, many financial experts have questioned its effectiveness; ...

No change to interest rates, no further Quantitative Easing

The Bank of England have left interest rates on hold and decided against extending the existing £325 billion program of Quantitative Easing (QE). Despite the International Monetary Fund (IMF) calling for a cut in UK interest rates the decision to leave rates at 0.5% was hardly a surprise. ‘Wait & see’ The IMF also suggested that the Bank should extend the program of QE and some observers had predicted that this advice would be followed. However it seems that the Bank has decided to adopt a ‘wait and see’, monitoring both inflation and the wider economy, before making their next move. At least one ...