June 24, 2018

British companies plan for minimum wage hike

15 February 2018, 08:19 | Hattie Nash

British companies plan for minimum wage hike

British companies plan for minimum wage hike

While the stickiness of inflation will make for itchy trigger fingers among rate setters at the Bank of England, the signs of the economy faltering suggest there's a risk of higher interest rates exacerbating a nascent slowdown.

According to the February update, private sector business leaders are expecting an average pay settlement rate of 3.1 per cent in 2018, compared with 2.6 per cent past year.

The data come on the heels of recent warnings from the Bank of England that interest rates may have to be hiked more aggressively than previously thought in order to control inflation, putting a May hike in play.

British companies plan for minimum wage hike
British companies plan for minimum wage hike

Wage growth in Britain has been lacklustre since the financial crisis. The largest increases are planned in the service sector, where the highest number of people receives wages close to the minimum.

Britain's minimum wage for those aged 25 and over is due to rise by 4.4 percent in April to 7.83 pounds ($10.85) an hour, while pay for some younger workers will rise by over 5 percent.

The Central Bank report also shows that businesses feel pressure from higher mandatory pension contributions, increased inflation, the lack of foreign workers, and difficulties in recruiting and retaining staff.

Stock Jumping Abnormally High: Newmont Mining Corporation (NYSE:NEM)
Market worth or Market capitalization is calculated by multiplying the price of a stock by its total number of outstanding shares. The stock of Newmont Mining Corporation (NYSE: NEM ) has "Outperform" rating given on Thursday, August 13 by BMO Capital Markets.

"Expectations that the Bank of England will raise interest rates in May will likely be fuelled by their regional agents reporting a pick-up in companies' expected average pay settlements", economist Howard Archer at consultants EY Item Club said.

The rate had hit 3.1 per cent in November, which was the highest level in nearly six years. The financial markets are even set for another rise before the end of 2018.

Mr Holman said: "We think the current speed limit of the United Kingdom economy is annual growth of around 1.5 per cent but our latest forecast suggests it is on track to grow a bit faster than that".

Floyd Mayweather Vs. CM Punk? Joe Rogan Floats Crazy UFC Fight Idea
McGregor lost to Mayweather in a boxing match past year but there's been talk a rematch could be on, this time in the Octagon. Speaking last week, White said: "Floyd said leading up to the fight with Conor that he would do both [boxing and MMA]".

A PMI index of price pressures constructed from indicators of input costs in manufacturing, services and construction, blended with the manufacturing PMI suppliers' delivery times index (which acts as a proxy for the amount of spare capacity in the economy), clearly highlights how price pressures have intensified in recent months, up to a level which is historically commensurate with tighter monetary policy.

"While we expect at touch softer reading of 2.9 percent y/y, we think that the core rate might inch higher by 0.1ppt to 2.6 percent y/y in January, which would support our thinking that a Bank Rate rise may now be likely in May", Daiwa Capital Markets commented in its latest report.

What direct rule in Northern Ireland means for the UK
The Irish and British governments say they're continuing to discuss a way forward, after the collapse of the talks. Two days ago the British and Irish prime ministers raised the prospect of the stalemate ending soon.

Other News

Trending Now

Steady Activities: Sirius XM Holdings Inc. (SIRI), JPMorgan Chase & Co. (JPM)
Maximum and minimum EPS estimate for the current quarter is projected at $2.46 and $2.03, respectively, according to 22 analysts. Moreover, Benjamin F Edwards And Company Inc has 0.13% invested in Union Pacific Corporation (NYSE:UNP) for 9,565 shares.

Priyanka Chopra denies suing Nirav Modi
According to Forbes magazine, Nirav Modi's wealth was reported to be at $ 1.73 billion as on 15 February this year. Priyanka Chopra, who has become an worldwide sensation, had shot for a Nirav Modi's jewels campaign past year .

Tillerson says Hezbollah actions threaten Lebanon, region
The US Secretary of state is on a five-day regional tour taking in Lebanon as well as Egypt, Jordan, Kuwait and Turkey. US President Donald Trump has been tough on Hezbollah, imposing new sanctions created to damage Iran and its allies.

Analysts Set Occidental Petroleum Co. (OXY) Target Price at $70.07
Boys Arnold & Co Inc decreased its stake in Abbott Labs (ABT) by 10.68% based on its latest 2017Q3 regulatory filing with the SEC. The stock has a market cap of $52,174.43, a PE ratio of 100.21, a price-to-earnings-growth ratio of 4.37 and a beta of 0.53.

New US-Jordan Memorandum of Understanding on Bilateral Foreign Assistance to Jordan
While describing it as "fairly well advanced", Tillerson said it was up to Trump to decide when to release the plan. But the main opposition body - including the members Tillerson met on Wednesday - boycotted the conference.

Immigration deal reached by group of Senators
Udall's spokeswoman, Jen Talhelm, said Wednesday that the senator "has voiced support" for an immigration bill introduced by Sens. It is the favorite of McConnell, who has consistently plugged it as the only proposal that has a chance of being signed into law.

Nintendo Labo Overview Trailer Shows Gameplay and How It All Works
The Toy-Con House gives you a small cute animal to befriend and interact with while using the Joy-Cons in unique way. There are a variety of experiences to discover, including mine cart races, bowling, and playing jump rope.

Terps Edged at Nebraska
Nebraska needs to dial up the offensive pace and defensive intensity on Maryland's guards and wear them down from the jump. Maybe the most important matchup tonight will be Nebraska's perimeter defense against Maryland's 3-point shooting.

Price Target Estimates for: Jaguar Animal Health, Inc. (JAGX), Abbott Laboratories (ABT)
Chicago Partners Investment Group LLC lifted its holdings in shares of Abbott Laboratories by 124.1% in the second quarter. Mercer Capital Advisers has 349 shares for 0.01% of their portfolio. 23,172 are held by Mitchell Sinkler And Starr Pa.

'Time-Traveler From 2030' Passes Lie Detector Test While Revealing Future Predictions
Some of Noah's other outlandish claims on the show include that it will be possible to design your own babies in the future. He responds with a yes and the word "true" appears in large green letters, meaning he believes he is telling the truth.