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Market Commentary

Housing market activity likely to soften

The latest figures from Nationwide show that UK house price growth regained momentum in March 2026, with an annual rise of 2.2%.  This represents a significant increase compared to February, when annual growth was 1%. While it is positive to see the recent uptick in house price growth, Nationwide noted that the short-term outlook is […]

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A brutal inflation surge looms

Market Commentary

A brutal inflation surge looms

The latest figures from the Office for National Statistics (ONS) show the annual rate of inflation remained at 3% in the 12 months to February – based on data collected before the Middle East conflict. Interestingly, motor fuels made the largest downward contribution to inflation, with prices falling by 4.6% annually in the 12 months […]

Whatever happens, our job is to make sure inflation gets back to its 2% target

Market Commentary

Whatever happens, our job is to make sure inflation gets back to its 2% target

Last week, the Monetary Policy Committee (MPC) voted to maintain Bank Rate at 3.75%. Before the war broke out in Iran, many experts had been expecting to see a reduction this month, but concerns about the conflict’s economic impact have put any potential cuts on hold. All members of the MPC voted to keep rates […]

The near-term outlook is now dominated by heightened uncertainty surrounding conflict in the Middle East

Market Commentary

The near-term outlook is now dominated by heightened uncertainty surrounding conflict in the Middle East

According to the latest data from the Office for National Statistics (ONS), the UK economy unexpectedly flatlined in January, showing no monthly growth. This stagnation follows growth of 0.1% in December and 0.2% in November. According to a Reuters poll, economists had expected to see a 0.2% month-on-month increase. The service sector showed no growth […]

The situation remains highly fluid and adds to an already uncertain global economic environment

Market Commentary

The situation remains highly fluid and adds to an already uncertain global economic environment

Last week, the International Monetary Fund (IMF) released a statement about the Middle East conflict, which began on 28 February after US-Israeli air strikes on Iran. At the start of the year, the IMF had forecast strong global GDP growth of 3.3% in 2026, but the outlook is now more uncertain. The IMF commented on […]

Spring Forecast 2026

Market Commentary

Spring Forecast 2026

On Tuesday 3 March, Chancellor of the Exchequer Rachel Reeves delivered her Spring Forecast, unveiling updated economic forecasts from the Office for Budget Responsibility (OBR). The Chancellor opened her statement by saying, “This government has the right economic plan for our country,” which was “even more important in a world that in the last few […]

Inflation fell markedly in January

Market Commentary

Inflation fell markedly in January

The latest inflation data from the Office for National Statistics (ONS) for January shows the Consumer Prices Index (CPI) fell to its lowest level since last March. In the 12 months to January, CPI increased by 3.0%, down from 3.4% in the 12 months to December, in line with expectations from a Reuters poll of […]

Improving the outlook now depends on restoring business dynamism

Market Commentary

Improving the outlook now depends on restoring business dynamism

The latest data from the Office for National Statistics (ONS) shows that the UK economy expanded by 0.1% in the three months to December 2025. This modest growth follows falls of 0.1% recorded in both the three months to November and October 2025. The main driver of GDP growth was the production sector, which grew […]

We now think that inflation will fall back to around 2% by the spring

Market Commentary

We now think that inflation will fall back to around 2% by the spring

In its first meeting of the year, the Monetary Policy Committee (MPC) voted to retain Bank Rate at 3.75%. The MPC was split over the decision, with five members opting to hold the rate and four voting to reduce it to 3.5%. A rate reduction was last made in December 2025, so many analysts were […]

China is a vital player on the global stage and it is vital that we build a more sophisticated relationship

Market Commentary

China is a vital player on the global stage and it is vital that we build a more sophisticated relationship

Keir Starmer visited China last week, becoming the first British Prime Minister to meet with President Xi Jinping in eight years. Britain’s relationship with China has been strained over the last decade, but Starmer is one of many European leaders currently seeking to rebuild ties. US President Trump’s policies are causing some uncertainty in Europe; […]

Europe needs to adjust to the new security architecture and realities that we are now facing

Market Commentary

Europe needs to adjust to the new security architecture and realities that we are now facing

Last week, global leaders met in Davos for the World Economic Forum Annual Meeting 2026. Talks were focused on rising geopolitical and economic tensions, including the Russia-Ukraine conflict and the fast-moving situation in Greenland. On Wednesday 21 January, President Trump delivered a special address, touching on US economic growth, immigration and Greenland. He stated that […]

Any decision about the future of Greenland belongs to the people of Greenland

Market Commentary

Any decision about the future of Greenland belongs to the people of Greenland

Keir Starmer spoke from Downing Street on Monday morning in response to President Trump’s intention to take control of Greenland because of its strategic Arctic position and mineral wealth. The Prime Minister said Trump was “completely wrong” to threaten tariffs against countries opposing the move, urging for the issue to be resolved through calm discussions […]

This is a government that wants what’s best for Scotland

Market Commentary

This is a government that wants what’s best for Scotland

On 13 January, Scottish Finance Secretary Shona Robison delivered her draft Budget, outlining key tax and spending plans for the forthcoming financial year, running from 1 April 2026 to 31 March 2027. The Scottish government usually announces its Budget in December but due to the late timing of Rachel Reeves’ Budget on 26 November, decided […]

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