The Bank of England has raised interest rates for the first time in a decade to contain an increase in inflation stoked by the Brexit vote, in what is otherwise a moment of high uncertainty for the economy. In a statement Thursday, the bank said it had lifted its benchmark rate, which affects the cost of loans and savings rates in the wider economy, to 0.50% from the record low of 0.25%.
The Bank of England expects Britain to lose up to 75,000 financial services jobs in the years after its departure from the European Union in 2019, the BBC reported. London dominates global currency trading and is Europe’s main finance hub.
The British Labour party is seeking to up the pressure on ministers over their refusal to release a series of Brexit impact studies. The government has confirmed that 58 reports looking at different sectors of the economy have been prepared, but is resisting calls to publish them; saying to do so would undermine the UK's negotiating position.
Sixteen months after a majority of voters decided the only way for the United Kingdom is to leave the European Union, a new poll says the number of those who regret the vote has risen to its highest level.
German Chancellor Angela Merkel was made furious by the leaks from Brexit talks about Theresa May as Berlin fears her leadership could come to an end if attacks against her continue. May reportedly begged for help according to details of a dinner between the prime minister and European Commission President Jean-Claude Juncker published by German newspaper Frankfurter Allgemeine Zeitung on Sunday.
Michael Bloomberg, the billionaire media mogul and former mayor of New York, has said Brexit is the “single stupidest thing any country has ever done” apart from the election of Donald Trump as US president. Bloomberg argued that “it is really hard to understand why a country that was doing so well wanted to ruin it” with the Brexit vote, in a series of outspoken remarks made at a technology conference in Boston a fortnight ago.
Philip Hammond has said he is “confident” businesses will be given the Brexit certainty they need although he sidestepped calls to ensure transition principles are guaranteed by Christmas. The UK Chancellor acknowledged the principles of a transition period are “urgent and pressing”, also telling MPs the Government wants them agreed with the European Union “as soon as possible”.
Prime Minister Theresa May has dismissed a call for a second referendum as “out of the question”, affirming that Britain will be leaving the EU. Mrs May was asked whether people should have the chance to vote again by Labour’s Paul Flynn, who said “second thoughts” were superior.
UK Brexit Secretary David Davis will travel to Paris on Monday for talks days after French President Emmanuel Macron suggested Britain would need to up its divorce payment offer to unlock trade negotiations. Davis will have dinner with French foreign minister Jean-Yves Le Drian in the UK’s latest attempt to jump-start withdrawal talks with the European Union.
The conservative former chancellor Ken Clarke has said he believes there is now no way to prevent the UK leaving the EU. The staunch Remainer said there was “little doubt” that Brexit would take place and argued a second referendum on any deal would be “folly”.